QWEST CORP, 10-Q filed on 7/31/2025
Quarterly Report
v3.25.2
Cover
 6 Months Ended
Jun. 30, 2025
shares
Cover [Abstract]  
Document Type 10-Q
Document Quarterly Report true
Document Period End Date Jun. 30, 2025
Document Transition Report false
Entity File Number 001-03040
Entity Registrant Name QWEST CORPORATION
Entity Incorporation, State or Country Code CO
Entity Tax Identification Number 84-0273800
Entity Address, Address Line One 931 14th Street,
Entity Address, City or Town Denver,
Entity Address, State or Province CO
Entity Address, Postal Zip Code 80202
City Area Code 318
Local Phone Number 388-9000
Entity Information [Line Items]  
Entity Current Reporting Status Yes
Entity Interactive Data Current Yes
Entity Filer Category Non-accelerated Filer
Entity Small Business false
Entity Emerging Growth false
Entity Shell Company false
Entity Common Stock, Shares Outstanding (in shares) 0
Entity Central Index Key 0000068622
Current Fiscal Year End Date --12-31
Document Fiscal Year Focus 2025
Document Fiscal Period Focus Q2
Amendment Flag false
6.5% Notes Due 2056  
Entity Information [Line Items]  
Title of 12(b) Security 6.5% Notes Due 2056
Trading Symbol(s) CTBB
Security Exchange Name NYSE
6.75% Notes Due 2057  
Entity Information [Line Items]  
Title of 12(b) Security 6.75% Notes Due 2057
Trading Symbol(s) CTDD
Security Exchange Name NYSE
v3.25.2
CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2025
Jun. 30, 2024
OPERATING REVENUE        
Total operating revenue $ 1,206 $ 1,389 $ 2,428 $ 2,781
OPERATING EXPENSES        
Cost of services and products (exclusive of depreciation and amortization) 363 373 717 743
Selling, general and administrative 96 118 200 246
Operating expenses—affiliates 196 181 381 393
Depreciation and amortization 174 187 365 374
Total operating expenses 829 859 1,663 1,756
OPERATING INCOME 377 530 765 1,025
OTHER (EXPENSE) INCOME        
Interest expense (24) (14) (46) (33)
Other income (expense), net 1 (2) 5 (1)
Total other income (expense), net 1 (12) (4) (28)
INCOME BEFORE INCOME TAX EXPENSE 378 518 761 997
Income tax expense 101 140 200 266
NET INCOME 277 378 561 731
Non-affiliates        
OPERATING REVENUE        
Total operating revenue 724 829 1,464 1,675
Affiliates        
OPERATING REVENUE        
Total operating revenue 482 560 964 1,106
OTHER (EXPENSE) INCOME        
Interest income—affiliate, net $ 24 $ 4 $ 37 $ 6
v3.25.2
CONSOLIDATED BALANCE SHEETS (UNAUDITED) - USD ($)
$ in Millions
Jun. 30, 2025
Dec. 31, 2024
CURRENT ASSETS    
Cash and cash equivalents $ 25 $ 26
Accounts receivable, less allowance of $29 and $29 198 227
Assets held for sale 2,691 0
Other current assets, net 107 152
Total current assets 4,458 1,307
Property, plant and equipment, net of accumulated depreciation of $8,580 and $8,910 7,493 8,865
GOODWILL AND OTHER ASSETS    
Goodwill 5,650 6,955
Intangible assets, net 100 84
Other assets, net 127 151
Total goodwill and other assets 5,877 7,190
TOTAL ASSETS 17,828 17,362
CURRENT LIABILITIES    
Current maturities of long-term debt 239 239
Accounts payable 142 221
Accrued expenses and other liabilities    
Salaries and benefits 101 130
Income and other taxes 97 106
Other current liabilities 105 117
Liabilities held for sale 31 0
Current portion of deferred revenue 145 153
Total current liabilities 860 966
LONG-TERM DEBT 1,688 1,688
DEFERRED CREDITS AND OTHER LIABILITIES    
Deferred income taxes, net 1,354 1,336
Other liabilities 703 685
Total deferred credits and other liabilities 2,476 2,465
COMMITMENTS AND CONTINGENCIES (Note 9)
STOCKHOLDER'S EQUITY    
Common stock - one share without par value, owned by Qwest Services Corporation 10,050 10,050
Retained earnings 2,754 2,193
Total stockholder's equity 12,804 12,243
TOTAL LIABILITIES AND STOCKHOLDER'S EQUITY 17,828 17,362
Affiliates    
CURRENT ASSETS    
Advances to affiliates 537 902
Note receivable - affiliates 900 0
DEFERRED CREDITS AND OTHER LIABILITIES    
Affiliate obligations, net $ 419 $ 444
v3.25.2
CONSOLIDATED BALANCE SHEETS (UNAUDITED) (Parenthetical) - USD ($)
$ in Millions
Jun. 30, 2025
Dec. 31, 2024
Statement of Financial Position [Abstract]    
Accounts receivable, allowance $ 29 $ 29
PP&E, accumulated depreciation $ 8,580 $ 8,910
Common stock, share issued (in shares) 1 1
Common stock, share outstanding (in shares) 1 1
v3.25.2
CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) - USD ($)
$ in Millions
 6 Months Ended
Jun. 30, 2025
Jun. 30, 2024
OPERATING ACTIVITIES    
Net income $ 561 $ 731
Adjustments to reconcile net income to net cash provided by operating activities:    
Depreciation and amortization 365 374
Deferred income taxes 18 (15)
Provision for uncollectible accounts 20 29
Changes in current assets and liabilities:    
Accounts receivable (3) (14)
Accounts payable (29) (12)
Accrued income and other taxes (9) (12)
Other current assets and liabilities, net (4) (39)
Changes in other assets and liabilities, net 24 15
Changes in affiliate obligations, net (25) (27)
Other, net 15 (11)
Net cash provided by operating activities 933 1,019
INVESTING ACTIVITIES    
Capital expenditures (407) (545)
Changes in advances to affiliates 365  
Changes in advances to affiliates   (195)
Net increase in note receivable - affiliates (900) 0
Proceeds from sale of property, plant and equipment and other assets 7 5
Net cash used in investing activities (935) (735)
FINANCING ACTIVITIES    
Payments of long-term debt 0 (215)
Changes in advances from affiliates 0 (61)
Net cash used in financing activities 0 (276)
Net (decrease) increase in cash, cash equivalents and restricted cash (2) 8
Cash, cash equivalents and restricted cash at beginning of period 28 12
Cash, cash equivalents and restricted cash at end of period 26 20
Supplemental cash flow information:    
Income taxes paid, net (166) (262)
Interest paid, including affiliate interest (net of capitalized interest of $19 and $38) (47) (33)
Supplemental noncash information regarding financing activities:    
Repayment of long-term debt in exchange for reductions of advances from affiliates 0 215
Cash, cash equivalents, and restricted cash:    
Cash and cash equivalents 25 18
Restricted cash included in Other assets, net 1 2
Total $ 26 $ 20
v3.25.2
CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) (Parenthetical) - USD ($)
$ in Millions
 6 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Statement of Cash Flows [Abstract]    
Interest paid, capitalized interest $ 19 $ 38
v3.25.2
CONSOLIDATED STATEMENTS OF STOCKHOLDER'S EQUITY (UNAUDITED) - USD ($)
$ in Millions
Total
COMMON STOCK
RETAINED EARNINGS
Balance at beginning of period at Dec. 31, 2023   $ 10,050 $ 706
Increase (Decrease) in Stockholder's Equity      
Net income $ 731   731
Balance at end of period at Jun. 30, 2024 11,487 10,050 1,437
Balance at beginning of period at Mar. 31, 2024   10,050 1,059
Increase (Decrease) in Stockholder's Equity      
Net income 378   378
Balance at end of period at Jun. 30, 2024 11,487 10,050 1,437
Balance at beginning of period at Dec. 31, 2024 12,243 10,050 2,193
Increase (Decrease) in Stockholder's Equity      
Net income 561   561
Balance at end of period at Jun. 30, 2025 12,804 10,050 2,754
Balance at beginning of period at Mar. 31, 2025   10,050 2,477
Increase (Decrease) in Stockholder's Equity      
Net income 277   277
Balance at end of period at Jun. 30, 2025 $ 12,804 $ 10,050 $ 2,754
v3.25.2
Background
 6 Months Ended
Jun. 30, 2025
Accounting Policies [Abstract]  
Background
Note 1—Background

General

We are a leading digital networking services company empowering enterprise businesses to fuel growth in a multi-cloud, AI-first marketplace by connecting people, data, and applications quickly, securely and effortlessly. We are unleashing the world's digital potential by providing a broad array of integrated products and services to our domestic and global Business customers and our domestic Mass Markets customers. Our specific products and services are detailed in Note 4—Revenue Recognition of this report.

We generate the majority of our total consolidated operating revenue from services provided in the 14-state region of Arizona, Colorado, Idaho, Iowa, Minnesota, Montana, Nebraska, New Mexico, North Dakota, Oregon, South Dakota, Utah, Washington and Wyoming. We refer to this region as our local service area.

Basis of Presentation

Our consolidated balance sheet as of December 31, 2024, which was derived from our audited consolidated financial statements, and our unaudited interim consolidated financial statements provided herein have been prepared in accordance with the instructions for Form 10-Q. Certain information and note disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America ("GAAP") have been condensed or omitted pursuant to rules and regulations of the U.S. Securities and Exchange Commission ("SEC"). However, in our opinion, the disclosures made therein are adequate to make the information presented not misleading. We believe these consolidated financial statements include all normal recurring adjustments necessary to fairly state the results for the interim periods. The consolidated results of operations and cash flows for the first six months of the year are not necessarily indicative of the consolidated results of operations and cash flows that might be expected for the entire year. These consolidated financial statements and the accompanying notes should be read in conjunction with the audited consolidated financial statements and the notes thereto included in our Annual Report on Form 10-K for the year ended December 31, 2024.

The accompanying consolidated financial statements include our accounts and the accounts of our subsidiaries. Intercompany amounts and transactions with our consolidated subsidiaries have been eliminated. Transactions with our non-consolidated affiliates (Lumen Technologies and its other subsidiaries, referred to herein as affiliates) have not been eliminated.

We reclassified certain prior period amounts to conform to the current period presentation, including the recategorization of our Business revenue by product category. See Note 4—Revenue Recognition for additional information. These changes had no impact on total operating revenue, total operating expenses or net income for any period.

Segments

Our operations are integrated into and reported as part of Lumen Technologies. Lumen's CEO is our chief operating decision maker ("CODM") and reviews our financial information on an aggregate basis only in connection with our quarterly and annual reports that we file with the SEC. Our CODM assesses performance and allocates resources in conjunction with and based on the operations of Lumen Technologies. Consequently, we do not provide our discrete financial information to the CODM on a regular basis. As such, we have one reportable segment.
Assets Held for Sale

We classify assets and related liabilities as held for sale when: (i) management has committed to a plan to sell the assets; (ii) the net assets are available for immediate sale; (iii) there is an active program to locate a buyer; and (iv) the sale and transfer of the net assets is probable within one year. Assets and liabilities held for sale are presented separately on our consolidated balance sheets with a valuation allowance, if necessary, to recognize the net carrying amount at the lower of carrying value or fair value, less costs to sell. Depreciation of property, plant and equipment and amortization of finite-lived intangible assets and right-of-use assets are not recorded while these assets are classified as held for sale. For each reporting period that assets are classified as being held for sale, they are tested for recoverability. Unless otherwise specified, the amounts and information presented in the accompanying notes do not include assets and liabilities that were classified as held for sale as of June 30, 2025. See Note 2 for information about our agreement to sell the Lumen Mass Markets fiber-to-the-home business operated by us and certain of our affiliates in 11 states to AT&T and the classification of this business as held for sale on May 21, 2025.

Summary of Significant Accounting Policies

Refer to the significant accounting policies and accounting pronouncements adopted in 2024 described in Note 1—Background and Summary of Significant Accounting Policies to the consolidated financial statements and accompanying notes in Part II Item 8 of our Annual Report on Form 10-K for the year ended December 31, 2024.

Recently Issued Accounting Pronouncements

In November 2024, the Financial Accounting Standards Board (the "FASB") issued ASU 2024-04, "Debt—Debt with Conversion and Other Options (Subtopic 470-20): Induced Conversions of Convertible Debt Instruments." This ASU clarifies the requirements for determining whether certain settlements of convertible debt instruments should be accounted for as induced conversions rather than as debt extinguishments. This standard is effective for the annual period of fiscal 2026, and early adoption is permitted. As of June 30, 2025, we did not have any outstanding convertible debt instruments and do not expect this ASU will have any impact on our consolidated financial statements.

In November 2024, the FASB issued ASU 2024-03, "Disaggregation of Income Statement Expenses." This ASU requires additional footnote disclosure of the details of certain income statement expense line items as well as additional disclosure about selling expenses. This standard is effective for the annual period of fiscal 2027, and early adoption is permitted. The guidance will be applied prospectively, with the option for retrospective application. We are currently evaluating the impact the adoption of this standard will have on our disclosures.

In December 2023, the FASB issued ASU 2023-09, “Income Taxes (Topic 740): Improvements to Income Tax Disclosures.” This ASU requires that public business entities must annually (1) disclose specific categories in their rate reconciliation and (2) provide additional information for reconciling items that meet a quantitative threshold (if the effect of those reconciling items is equal to or greater than 5 percent of the amount computed by multiplying pretax income or loss by the applicable statutory income tax rate). This ASU will become effective for us for the annual reporting period ending December 31, 2025. The Income Taxes footnote to the consolidated financial statements included in Item 8 of Part II of our Annual Report on Form 10-K for the year ended December 31, 2025 will align with the standard. We do not anticipate this standard will affect our operating results.
v3.25.2
Planned Divestiture of the Lumen Mass Markets Fiber-to-the-Home Business
 6 Months Ended
Jun. 30, 2025
Discontinued Operations and Disposal Groups [Abstract]  
Planned Divestiture of the Lumen Mass Markets Fiber-to-the-Home Business
Note 2—Planned Divestiture of the Lumen Mass Markets Fiber-to-the-Home Business

On May 21, 2025, we entered into a definitive agreement to sell to AT&T the Lumen Mass Markets fiber-to-the-home business, operated by us and certain of our affiliates in 11 states for a pre-tax total of $5.75 billion in cash, subject to working capital and various other purchase price adjustments. The portion of this amount attributable to us cannot currently be calculated, and will be dependent upon several variables.
The actual amount of our net after-tax proceeds from this divestiture could vary substantially from the amounts we currently estimate, including if we experience delays in completing the transaction or if there are changes in other assumptions that impact our estimates.

We do not believe this divestiture transaction represents a strategic shift for us and therefore, does not meet the criteria to be classified as a discontinued operation. As a result, we will continue to report our operating results for the Mass Markets fiber-to-the-home business (the "disposal group") in our consolidated operating results until the transaction is closed. We anticipate closing this divestiture in the first half of 2026, upon receipt of all requisite regulatory approvals, as well as the satisfaction of other customary conditions.

As of June 30, 2025 in the accompanying consolidated balance sheet, the assets and liabilities of the disposal group are classified as held for sale and measured at the lower of (i) the carrying value when we classified the disposal group as held for sale or (ii) the fair value of the disposal group, less costs to sell. Effective with the designation of the disposal group as held for sale on May 21, 2025, we suspended recording depreciation of property, plant and equipment while these assets are classified as held for sale. We estimate that we would have recorded an additional $15 million of depreciation for the three and six months ended June 30, 2025, respectively, if the disposal group did not meet the held for sale criteria.

Under the terms of the purchase agreement, Lumen agreed to grant the purchaser an indefeasible right to use (“IRU”) certain Lumen retained fiber assets following the close of the transaction in order to service the transferred customer contracts. The value of these retained Lumen assets subject to the IRU is excluded from assets held for sale in the table below.

The principal components of the held for sale assets and liabilities of the disposal group as of June 30, 2025 are as follows:
June 30, 2025
(Dollars in millions)
Assets held for sale
Accounts receivable, less allowance of $1
$12 
Other current assets, net
9 
Property, plant and equipment, net of accumulated depreciation of $650
1,344 
Goodwill1,305 
Other assets, net
21 
Total Assets held for sale
$2,691 
Liabilities held for sale
Accounts payable$17 
Other current liabilities2 
Current portion of deferred revenue11 
Other non-current liabilities
1 
Total Liabilities held for sale
$31 
v3.25.2
Goodwill and Intangible Assets
 6 Months Ended
Jun. 30, 2025
Goodwill and Intangible Assets Disclosure [Abstract]  
Goodwill and Intangible Assets
Note 3—Goodwill and Intangible Assets

Goodwill and Intangible assets, net on our consolidated balance sheets consisted of the following:

June 30, 2025December 31, 2024
(Dollars in millions)
Goodwill, less accumulated impairment losses of $2,405 and $2,405(1)
$5,650 6,955 
Intangible assets, less accumulated amortization of $1,648 and $1,841
$100 84 
______________________________________________________________________
(1)     As of June 30, 2025, this amount excluded goodwill classified as held for sale of $1.3 billion. See Note 2—Planned Divestiture of the Lumen Mass Markets Fiber-to-the-Home Business.

As of June 30, 2025 and December 31, 2024, the gross carrying amount of goodwill and intangible assets was $7.4 billion and $8.9 billion.

Substantially all of our goodwill was derived from Lumen's acquisition of us in which the purchase price exceeded the fair value of the net assets acquired.

We are required to assess our goodwill for impairment annually, or under certain circumstances, more frequently, such as when events or changes in circumstances indicate there may be impairment. We are required to write down the value of goodwill only when our assessment determines the carrying value of equity of our reporting unit exceeds its fair value. Our annual impairment assessment date for goodwill is October 31, at which date we assess goodwill at our reporting unit. In reviewing the criteria for reporting units, we have determined that we have one reporting unit.

We determined that the classification of the Lumen Mass Markets fiber-to-the-home business as held for sale, as described in Note 2—Planned Divestiture of the Lumen Mass Markets Fiber-to-the-Home Business, was considered an event or change in circumstance which required an assessment of our goodwill for impairment as of April 30, 2025. We performed a pre-classification goodwill impairment test using the market approach to test for impairment prior to the classification of these assets as held for sale and to determine the April 30, 2025 fair values to be utilized for goodwill impairment testing. Applying this approach, we utilized company comparisons and analyst reports within the telecommunications industry which supported a range of fair values derived from annualized revenue and earnings before interest, tax, depreciation and amortization ("EBITDA") multiples between 1.8x and 3.1x and 5.8x and 8.0x, respectively.

As of April 30, 2025, based on our assessments performed, the estimated fair value of our equity exceeded our carrying value of equity by approximately 15% and 14% for the pre-classification and post-classification, respectively. We concluded that we had no impairment as of our April 30, 2025 assessment date.

The following table shows the rollforward of goodwill from December 31, 2024 to June 30, 2025.
(Dollars in millions)
As of December 31, 2024(1)
$6,955 
Reclassified as held for sale(2)
(1,305)
As of June 30, 2025(1)
$5,650 
______________________________________________________________________
(1)     Goodwill at June 30, 2025 and December 31, 2024 is net of accumulated impairment losses of $2.4 billion and $2.4 billion, respectively.
(2)    Reflects the $1.3 billion of goodwill, net of accumulated impairment loss reclassified as held for sale related to our pending divestiture. See Note 2—Planned Divestiture of the Lumen Mass Markets Fiber-to-the-Home Business

Total amortization expense for finite-lived intangible assets for the three months ended June 30, 2025 and 2024 totaled $9 million and $12 million, respectively, and for the six months ended June 30, 2025 and 2024 totaled $17 million and $25 million, respectively.
v3.25.2
Revenue Recognition
 6 Months Ended
Jun. 30, 2025
Revenue from Contract with Customer [Abstract]  
Revenue Recognition
Note 4—Revenue Recognition

We categorize our revenue derived from our operations based on the customers we serve, as follows: (i) revenue derived from serving our Mass Markets customers are categorized primarily within the first three categories listed below, (ii) revenue derived from servicing our Business customers are categorized primarily in the 'Harvest', 'Nurture' and 'Grow' categories listed below, and (iii) revenue derived from serving our affiliates are categorized in the 'Affiliate Services' category listed:
•Other Broadband, under which we provide primarily lower speed broadband services to residential and small business customers utilizing our copper-based network infrastructure;

•Voice and Other, under which we derive revenues from (i) providing local and long-distance services, professional services, and other ancillary services, (ii) federal broadband and state support payments, and (iii) equipment, IT solutions and other services;

•Fiber Broadband, under which we provide high speed broadband services to residential and small business customers utilizing our fiber-based network infrastructure;

•Harvest, which includes our legacy services managed for cash flow, including Time Division Multiplexing voice and private line services;

•Nurture, which includes our more mature offerings, including primarily ethernet;

•Grow, which includes existing and emerging products and services in which we are significantly investing, including our dark fiber and wavelengths services; and

•Affiliate Services, which are (i) communications services that we provide to our affiliates and also provide to external customers and (ii) application development and support services that we provide to our affiliates, as described further in Note 8—Affiliate Transactions.

Reconciliation of Total Revenue to Revenue from Contracts with Customers

The following tables provide our total revenue by product and service category as well as the amount of revenue that is not subject to Accounting Standards Codification ("ASC") 606, "Revenue from Contracts with Customers" ("ASC 606"), but is instead governed by other accounting standards:

Three Months Ended June 30, 2025Six Months Ended June 30, 2025
Total Revenue
Adjustments for Non-ASC 606 Revenue (1)
Total Revenue from Contracts with CustomersTotal Revenue
Adjustments for Non-ASC 606 Revenue (1)
Total Revenue from Contracts with Customers
(Dollars in millions)
Other Broadband$197 (19)178 402 (37)365 
Voice and Other105 7 112 225 3 228 
Fiber Broadband82 (3)79 168 (6)162 
Harvest223 (34)189 434 (63)371 
Nurture85 (3)82 169 (5)164 
Grow32 (2)30 66 (4)62 
Affiliate Services482 (12)470 964 (24)940 
Total revenue$1,206 (66)1,140 2,428 (136)2,292 
Three Months Ended June 30, 2024Six Months Ended June 30, 2024
Total Revenue
Adjustments for Non-ASC 606 Revenue(1)
Total Revenue from Contracts with CustomersTotal Revenue
Adjustments for Non-ASC 606 Revenue(1)
Total Revenue from Contracts with Customers
(Dollars in millions)
Other Broadband$238 (20)218 490 (41)449 
Voice and Other131 (4)127 264 (8)256 
Fiber Broadband98 (3)95 197 (6)191 
Harvest240 (31)209 479 (63)416 
Nurture89 (2)87 178 (4)174 
Grow33 (2)31 67 (2)65 
Affiliate Services560 (12)548 1,106 (24)1,082 
Total revenue$1,389 (74)1,315 2,781 (148)2,633 
____________________________________________________________
(1)Includes regulatory revenue and lease revenue not within the scope of ASC 606.

Operating Lease Revenue

Qwest leases various data transmission capacity, office facilities, switching facilities, and other network sites to third parties under operating leases. Lease and sublease revenue are included in Operating Revenue in our consolidated statements of operations.

For the three months ended June 30, 2025 and 2024, our gross rental revenue was $72 million and $71 million, respectively, which represented 6% and 5%, respectively, of our operating revenue for three months ended June 30, 2025 and 2024. For the six months ended June 30, 2025 and 2024, our gross rental revenue was $139 million and $142 million, respectively, which represented approximately 6% and 5%, respectively, of our operating revenue for the six months ended June 30, 2025 and 2024.

Customer Receivables and Contract Balances

The following table provides balances of customer receivables and contract liabilities, net of amounts classified as held for sale:

June 30, 2025December 31, 2024
 (Dollars in millions)
Customer receivables, less allowance of $20 and $23 (1)(2)
$170 205 
Contract liabilities(3)
231 244 
______________________________________________________________________
(1)Customer receivables includes affiliate receivables.
(2)     As of June 30, 2025, this amount excluded $12 million of customer receivables, net associated with the disposal group reclassified as held for sale.
(3)     As of June 30, 2025, this amount excluded $10 million of contract liabilities associated with the disposal group reclassified as held for sale.

Contract liabilities consist of consideration we have received from our customers or billed in advance of providing goods or services promised in the future. We defer recognizing this consideration as revenue until we have satisfied the related performance obligation to the customer. Contract liabilities include recurring services billed one month in advance and installation, and maintenance charges that are deferred and recognized over the actual or expected contract term, which ranges from one to five years depending on the service. Contract liabilities are included within Deferred revenue in our consolidated balance sheets. During the three and six months ended June 30, 2025, we recognized $18 million and $140 million, respectively, of revenue that was included in contract liabilities of $244 million as of January 1, 2025, including contract liabilities that were classified as held for sale. During the three and six months ended June 30, 2024, we recognized $13 million and $148 million, respectively, of revenue that was included in contract liabilities of $269 million as of January 1, 2024.
Performance Obligations

As of June 30, 2025, we expect to recognize approximately $2.1 billion of revenue in the future related to performance obligations associated with existing customer contracts that are partially or wholly unsatisfied. As of June 30, 2025, the transaction price related to unsatisfied performance obligations that are expected to be recognized for the remainder of 2025, 2026 and thereafter was $360 million, $825 million and $866 million, respectively.

These amounts exclude (i) the value of unsatisfied performance obligations for contracts for which we recognize revenue in amounts for which we have the right to invoice for services performed (for example, uncommitted usage or non-recurring charges associated with professional or technical services to be completed), and (ii) contracts that are classified as leasing arrangements that are not subject to ASC 606 and (iii) the value of unsatisfied performance obligations for contracts which relate to the disposal group.

Contract Costs

The following tables provide changes in our contract acquisition costs and fulfillment costs:

Three Months Ended June 30, 2025Six Months Ended June 30, 2025
Acquisition Costs
Fulfillment Costs(1)
Acquisition Costs
Fulfillment Costs(1)
(Dollars in millions)
Beginning of period balance
$48 47 51 46 
Cost Incurred6 12 11 21 
Amortization(8)(9)(16)(17)
Change in contract costs held for sale
— (6)— (6)
End of period balance
$46 44 46 44 
______________________________________________________________________
(1)    The ending balance for the three and six months ended June 30, 2025 excluded fulfillment costs associated with the disposal group reclassified as held for sale of $6 million.

Three Months Ended June 30, 2024Six Months Ended June 30, 2024
Acquisition CostsFulfillment CostsAcquisition CostsFulfillment Costs
(Dollars in millions)
Beginning of period balance
$57 47 58 46 
Cost incurred9 9 19 19 
Amortization(10)(9)(21)(18)
End of period balance
$56 47 56 47 

Acquisition costs include commission fees paid to employees as a result of obtaining contracts. Fulfillment costs include third party and internal costs associated with the provision, installation and activation of communications services to customers, including labor and materials consumed for these activities.

We amortize deferred acquisition and fulfillment costs based on the transfer of services on a straight-line basis over the average contract life of 47 months for Mass Markets customers and 34 months for Business customers, respectively. We include amortized fulfillment costs in cost of services and products and amortized acquisition costs are included in selling, general and administrative expenses in our consolidated statements of operations. We include the amount of these deferred costs that are anticipated to be amortized in the next 12 months in Other current assets, net on our consolidated balance sheets. We include the amount of deferred costs expected to be amortized beyond the next 12 months in Other assets, net on our consolidated balance sheets. We assess deferred acquisition and fulfillment costs for impairment on a quarterly basis.
v3.25.2
Long-Term Debt
 6 Months Ended
Jun. 30, 2025
Debt Disclosure [Abstract]  
Long-Term Debt
Note 5—Long-Term Debt

The following table reflects our consolidated long-term debt as of the dates indicated below, including unamortized discounts and premiums and unamortized debt issuance costs:

Interest Rates (1)
Maturities (1)
June 30, 2025December 31, 2024
   (Dollars in millions)
Senior notes
6.50% - 7.75%
2025-2057$1,973 1,973 
Finance leases
VariousVarious3 3 
Unamortized premiums, net  1 1 
Unamortized debt issuance costs(50)(50)
Total long-term debt  1,927 1,927 
Less current maturities(239)(239)
Long-term debt, excluding current maturities$1,688 1,688 
_______________________________________________________________________________
(1)As of June 30, 2025.

Long-Term Debt Maturities

Set forth below is the aggregate principal amount of our long-term debt as of June 30, 2025 (excluding unamortized premiums, net and unamortized debt issuance costs) maturing during the following years:

(Dollars in millions)
2025 (remaining six months)$238 
20261 
20271 
2028— 
2029— 
2030 and thereafter1,736 
Total long-term debt$1,976 

Qwest Guarantees of Lumen Debt

Lumen’s obligations under its credit agreements entered into on March 22, 2024 and its superpriority secured senior notes issued on and after March 22, 2024 are unsecured, but Qwest Corporation and certain of its subsidiaries have provided an unsecured guarantee of Lumen’s obligations under these agreements and senior notes. See Note 6—Long-Term Debt and Note Payable - Affiliate in Item 8 of Part II of our Annual Report on Form 10-K for the year ended December 31, 2024.

Other Related Information

For information about our senior notes, our 2024 debt transactions and our intercompany debt arrangements, see Note 6—Long-Term Debt and Note Payable - Affiliate to the financial statements included in Item 8 of Part II of our Annual Report on Form 10-K for the year ended December 31, 2024.

Compliance

As of June 30, 2025, we believe we were in compliance with the financial covenants contained in our material debt agreements in all material respects.
v3.25.2
Property, Plant and Equipment
 6 Months Ended
Jun. 30, 2025
Property, Plant and Equipment [Abstract]  
Property, Plant and Equipment
Note 6—Property, Plant and Equipment

Net property, plant and equipment is composed of the following:

Depreciable
Lives		June 30, 2025December 31, 2024
(Dollars in millions)
LandN/A$329 329 
Fiber, conduit and other outside plant(1)
15-45 years
7,228 8,246 
Central office and other network electronics(2)
7-10 years
5,312 5,792 
Support assets(3)
3-30 years
2,905 2,878 
Construction in progress(4)
N/A299 530 
Gross property, plant and equipment16,073 17,775 
Accumulated depreciation(8,580)(8,910)
Net property, plant and equipment$7,493 8,865 
_______________________________________________________________________________
(1)Fiber, conduit and other outside plant consists of fiber and metallic cable, conduit, poles, and other supporting structures.
(2)Central office and other network electronics consists of circuit and packet switches, routers, transmission electronics, and electronics providing service to customers.
(3)Support assets consist of buildings, computers, and other administrative and support equipment.
(4)Construction in progress includes inventory held for construction and property of the aforementioned categories that has not been placed in service as it is still under construction.

As of June 30, 2025, we classified certain property, plant and equipment, net as held for sale and discontinued recording depreciation on the disposal group. See Note 2—Planned Divestiture of the Lumen Mass Markets Fiber-to-the-Home Business.

We recorded depreciation expense of $165 million and $348 million, respectively, for the three and six months ended June 30, 2025 and $175 million and $349 million, respectively, for the three and six months ended June 30, 2024.
v3.25.2
Fair Value of Financial Instruments
 6 Months Ended
Jun. 30, 2025
Fair Value Disclosures [Abstract]  
Fair Value of Financial Instruments
Note 7—Fair Value of Financial Instruments

Our financial instruments consist of cash and cash equivalents, restricted cash, accounts receivable, advances to and from affiliates, note receivable - affiliates, accounts payable, and long-term debt, excluding finance leases. Due to their short-term nature, the carrying amounts of our cash and cash equivalents, restricted cash, accounts receivable, advances to and from affiliates, note receivable - affiliates, accounts payable approximate their fair values.

Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between independent and knowledgeable parties who are willing and able to transact for an asset or liability at the measurement date. We use valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs when determining fair value and then we rank the estimated values based on the reliability of the inputs using the below-described fair value hierarchy. We determined the fair values of our long-term debt, including the current portion, based on quoted market prices where available or, if not available, based on inputs other than quoted market prices in active markets that are either directly or indirectly observable such as discounted future cash flows using current market interest rates.
The three input levels in the hierarchy of fair value measurements are defined by the FASB generally as follows:

Input LevelDescription of Input
Level 1Observable inputs such as quoted market prices in active markets.
Level 2Inputs other than quoted prices in active markets that are either directly or indirectly observable.
Level 3Unobservable inputs in which little or no market data exists.

The following table presents the carrying amounts and estimated fair values of our financial liabilities as of June 30, 2025 and December 31, 2024, as well as the input level used to determine the fair values indicated below:

  June 30, 2025December 31, 2024
 
Input Level
Carrying
Amount
Fair Value
Carrying
Amount
Fair Value
  (Dollars in millions)
Liabilities—Long-term debt (excluding finance leases)
2$1,924 1,471 1,924 1,462 
v3.25.2
Affiliate Transactions
 6 Months Ended
Jun. 30, 2025
Related Party Transactions [Abstract]  
Affiliate Transactions
Note 8—Affiliate Transactions

We provide incumbent local exchange carrier telecommunications services to our affiliates that are similar to the services we provide to external customers. We periodically review and update our prices for affiliate network services to align with regulated rates, where applicable, or competitive market-based rates charged to external customers, taking into consideration the average third party customer contract term to which those affiliate services pertain. These services are billed directly to our affiliates and recognized as affiliate revenue on our consolidated statements of operations.

We also provide to our affiliates shared services in the form of application development and support services, as well as network support and technical services, and administrative and corporate support. In this regard, we function as a service company to other Lumen affiliates, and correspondingly recognize affiliate revenue based on the costs for the services that we provide to those affiliates.

Whenever possible, costs for shared services are incurred directly by our affiliates for the services they use. When these shared costs are not directly incurred, they are allocated among all affiliates based upon what we determine to be the most reasonable method, first using cost causative measures, or, if no cost causative measure is available, using a general allocator. From time to time, we may adjust the basis for allocating the costs of a shared service among affiliates. Any such changes in allocation methodologies are generally applied prospectively.

On March 31, 2025, we entered into an unsecured revolving promissory note with our ultimate parent Lumen Technologies, under which Lumen Technologies is permitted to borrow up to $3.0 billion from us at an 8.3% interest rate per annum. The principal amount is payable upon demand by us and prepayable by Lumen Technologies at any time, but no later than March 31, 2030, which will automatically renew on the maturity date for successive 12-month periods unless we elect otherwise. The facility has covenants and is subject to other limitations. As of June 30, 2025, we had $900 million of principal due from Lumen Technologies under this promissory note.

The following table provides details of our affiliate revenue:

Three Months Ended June 30,Six Months Ended June 30,
2025202420252024
 (Dollars in millions)
Direct affiliate revenue
$341 417 686 818 
Allocated affiliate revenue
141 143 278 288 
Total operating revenue—affiliates
$482 560 964 1,106 
We also purchase services from our affiliates including telecommunication services, insurance, flight services and other support services such as legal, regulatory, finance administration and executive support. Our affiliates charge us for these services using the allocation methodology described above.
v3.25.2
Commitments, Contingencies and Other Items
 6 Months Ended
Jun. 30, 2025
Commitments and Contingencies Disclosure [Abstract]  
Commitments, Contingencies and Other Items
Note 9—Commitments, Contingencies and Other Items

We are subject to various claims, legal proceedings and other contingent liabilities, including the matters described below, which individually or in the aggregate could materially affect our financial condition, future results of operations or cash flows.

We review our litigation accrual liabilities on a quarterly basis, but in accordance with applicable accounting guidelines only establish accrual liabilities when losses are deemed probable and reasonably estimable and only revise previously-established accrual liabilities when warranted by changes in circumstances, in each case based on then-available information. As such, as of any given date we could have exposure to losses under proceedings as to which no liability has been accrued or as to which the accrued liability is inadequate. Subject to these limitations, at both June 30, 2025 and December 31, 2024 we had accrued $17 million, in the aggregate for our litigation and non-income tax contingencies, which are included in Other current liabilities, or Other liabilities in our consolidated balance sheets as of such dates. We cannot at this time estimate the reasonably possible loss or range of loss, if any in excess of this $17 million accrual due to the inherent uncertainties and speculative nature of contested proceedings. The establishment of an accrual does not mean that actual funds have been set aside to satisfy a given contingency. Thus, the resolution of a particular contingency for the amount accrued could have no effect on our results of operations but nonetheless could have an adverse effect on our cash flows.

In this Note, a reference to a "putative" class action means a class has been alleged, but not certified, in that matter.

Principal Proceedings

Environmental Litigation

Parish of St. Mary. On July 9, 2024, a putative class action complaint was filed in the 16th Judicial District Court for the Parish of St. Mary, State of Louisiana, Case 138575 asserting claims on behalf of all parishes, municipalities, and citizens owning real properties in the State of Louisiana that have been affected by lead-sheathed telecommunications cables installed by AT&T and Lumen or their predecessors. The complaint seeks damages and injunctive relief under Louisiana state law. The case was removed to the United States District Court Western District of Louisiana Lafayette Division, Case 6:24-CV-01001-RRS-DJA. On December 6, 2024, the plaintiffs voluntarily dismissed the class action complaint without prejudice. On December 13, 2024, St. Mary’s Parish along with other parishes, municipalities, and two individuals served a notice of intent to file citizen suit under the Louisiana Environmental Quality Act, asserting claims identical to the class action which the plaintiffs voluntarily dismissed. In April 2025, the Village of Parks (one of the municipalities which had served a notice of intent to file a citizen suit) served Lumen with a petition in an action captioned Village of Parks v. Lumen Technologies, Inc., Case 95026, in the 16th Judicial District Court for the Parish of St. Martin, State of Louisiana. The Village of Parks petition seeks damages and injunctive relief under Louisiana state law relating to the above-described allegations about lead-sheathed telecommunication cables.

Blum. On November 6, 2023, a putative class action complaint was filed in the 16th Judicial District Court for the Parish of St. Mary, State of Louisiana, Case 137935 asserting claims on behalf of all citizens owning real properties in the State of Louisiana that have been affected by lead-sheathed telecommunications cables installed by AT&T, BellSouth, Verizon, and Lumen or their predecessors. The complaint seeks damages and injunctive relief under Louisiana state law. The case has been removed to Federal Court in the United States District Court Western District of Louisiana Lafayette Division, Case 6:23-CV-01748. In December 2024, the plaintiffs filed an amended complaint and a motion for remand.
FCRA Litigation

In November 2014, a putative class action complaint captioned Bultemeyer v. CenturyLink, Inc. was filed in the United States District Court for the District of Arizona, Case CV-14-02530-PHX-SPL, alleging violations of the Fair Credit Reporting Act (the "FCRA"). In February 2017, the case was dismissed for lack of standing. The plaintiff appealed and the Ninth Circuit reversed and remanded. Class certification was contested and ultimately granted in 2023. The Ninth Circuit denied Lumen’s request to appeal the class certification ruling. A jury trial was conducted in September 2024. The jury found that CenturyLink willfully violated the FCRA, and awarded each class member $500 for statutory damages and $2,000 for punitive damages. The district court denied Lumen’s post-trial motions for relief, and October 16, 2024, Lumen filed an appeal which is captioned Bultemeyer v. CenturyLink, Inc., Case 24-6413, in the U.S. Court of Appeals for the Ninth Circuit. We have not accrued a contingent liability for this matter. While liability is possible, we have not determined it to be probable, and damages exposure, if any, is uncertain.

Huawei Network Deployment Investigations

Qwest has received requests from the following federal agencies for information relating to the use of equipment manufactured by Huawei Technologies Company ("Huawei") in networks operated by Lumen and Qwest.

•DOJ. Lumen has received a civil investigative demand from the U.S. Department of Justice in the course of a False Claims Act investigation alleging that Lumen Technologies, Inc. and Lumen Technologies Government Solutions, Inc. failed to comply with certain specified requirements in federal contracts concerning their use of Huawei equipment. 

•FCC. The FCC’s Enforcement Bureau issued a Letter of Inquiry to Lumen Technologies, Inc. regarding its written certifications to the FCC that Lumen has complied with FCC rules governing the use of resources derived from the High Cost Program, Lifeline Program, Rural Health Care Program, E-Rate Program, Emergency Broadband Benefit Program, and the Affordable Connectivity Program. Under these programs federal, funds may not be used to facilitate the deployment or maintenance of equipment or services provided by Huawei, a company the FCC has determined poses a national security threat to the integrity of U.S. communications networks or the communications supply chain.

•Team Telecom. The Committee for the Assessment of Foreign Participation in the United States Telecommunications Service Sector (comprised of the U.S. Attorney General, and the Secretaries of the Department of Homeland Security, and the Department of Defense), commonly referred to as Team Telecom, issued questions and requests for information relating to Lumen’s FCC licenses and its use of Huawei equipment.

Marshall Fire Litigation

On December 30, 2021, a wildfire referred to as the Marshall Fire ignited near Boulder, Colorado. The Marshall Fire killed two people, and it burned thousands of acres, including entire neighborhoods. Approximately 300 lawsuits seeking relief have been filed naming as defendants Qwest Corporation, an additional telecommunications company, and certain power companies. The complaints involving Qwest have been consolidated with Kupfner et al., v. Public Service Company of Colorado, et al., Case 2022-cv-30195, pending in Colorado District Court, Boulder, Colorado. Preliminary estimates of potential damage claims against all defendants exceed $2 billion. A trial to determine liability-only has been set for September 2025.

911 Surcharge

In June 2021, the Company was served with a complaint filed in the Santa Fe County District Court by Phone Recovery Services, LLC, acting on behalf of the State of New Mexico. The complaint claims Qwest Corporation and CenturyTel of the Southwest have violated the New Mexico Fraud Against Taxpayers Act since 2004 by failing to bill, collect, and remit certain 911 surcharges from customers. Through pre-trial proceedings, the Court narrowed the issues to be resolved by jury. On August 21, 2024, a jury decided the remaining issues, and consequently all claims asserted, in Lumen's favor. The parties filed and then withdrew appeals.
Other Proceedings, Disputes and Contingencies

From time to time, we are involved in other proceedings incidental to our business, including patent infringement allegations, regulatory hearings relating primarily to our rates or services, actions relating to employee claims, tax issues, or environmental law issues, grievance hearings before labor regulatory agencies, miscellaneous third-party tort actions or commercial disputes.

We are currently defending several patent infringement lawsuits asserted against us by non-practicing entities, which are seeking substantial recoveries. These cases have progressed to various stages and one or more may go to trial within the next 12 months if they are not otherwise resolved. Where applicable, we are seeking full or partial indemnification from our vendors and suppliers.

We are subject to various federal, state, and local environmental protection and health and safety laws. From time to time, we are subject to judicial and administrative proceedings brought by various governmental authorities under these laws. Several such proceedings are currently pending, but none is reasonably expected to exceed $300,000 in fines and penalties. In addition, in the past we acquired companies that had installed lead-sheathed cables several decades earlier, or had operated certain manufacturing companies in the first part of the 1900s. Under applicable environmental laws, we could be named as a potentially responsible party for a share of the remediation of environmental conditions arising from the historical operations of our predecessors.

The outcomes of these other proceedings described under this heading are not predictable. However, based on current circumstances, we do not believe that the ultimate resolution of these other proceedings, after considering available defenses and any insurance coverage or indemnification rights, will have a material adverse effect on us.

The matters listed in this Note do not reflect all of our contingencies. For additional information on our contingencies, see Note 14—Commitments, Contingencies and Other Items to the financial statements included in Item 8 of Part II of our Annual Report on Form 10-K for the year ended December 31, 2024. The ultimate outcome of the above-described matters may differ materially from the outcomes anticipated, estimated, projected or implied by us in certain of our statements appearing above in this Note, and proceedings we currently consider insignificant may ultimately affect us materially.
v3.25.2
Other Financial Information
 6 Months Ended
Jun. 30, 2025
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]  
Other Financial Information
Note 10—Other Financial Information

Other Current Assets, net

The following table presents details of Other current assets, net on our consolidated balance sheets:

June 30, 2025December 31, 2024
(Dollars in millions)
Prepaid expenses$59 98
Contract acquisition costs23 26
Contract fulfillment costs25 26
Other— 2
Total Other current assets, net(1)
$107 152
______________________________________________________________________
(1)    As of June 30, 2025, Other current assets, net excludes $9 million associated with the disposal group reclassified as held for sale.
Other Current Liabilities

The following table presents details of Other current liabilities on our consolidated balance sheets:

June 30, 2025December 31, 2024
(Dollars in millions)
Current affiliate obligation$48 48 
Current operating lease liability13 15 
Other44 54 
Total Other current liabilities$105 117 
______________________________________________________________________
(1)    As of June 30, 2025, Other current liabilities excludes $2 million associated with the disposal group reclassified as held for sale.

Included in accounts payable at June 30, 2025 and December 31, 2024 were $9 million (excluding $17 million of accounts payable associated with the disposal group reclassified as held for sale) and $57 million, respectively, associated with capital expenditures.

Other Liabilities

The following table presents details of Other liabilities on our consolidated balance sheets:

June 30, 2025December 31, 2024
(Dollars in millions)
Unrecognized tax benefits$469 453
Deferred revenue104 97
Operating lease liability50 49
Other80 86
Total Other liabilities$703 685
______________________________________________________________________
(1)    As of June 30, 2025, Other liabilities excludes $1 million associated with the disposal group reclassified as held for sale.
v3.25.2
Labor Union Contracts
 6 Months Ended
Jun. 30, 2025
Risks and Uncertainties [Abstract]  
Labor Union Contracts
Note 11—Labor Union Contracts
    
As of June 30, 2025, approximately 42% of our employees were represented by the Communications Workers of America (CWA) or the International Brotherhood of Electrical Workers (IBEW). 99% of our represented employees are subject to collective bargaining agreements that are scheduled to expire within the twelve-month period ending June 30, 2026.
v3.25.2
Pay vs Performance Disclosure - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2025
Jun. 30, 2024
Pay vs Performance Disclosure        
Net income $ 277 $ 378 $ 561 $ 731
v3.25.2
Insider Trading Arrangements
 3 Months Ended
Jun. 30, 2025
Trading Arrangements, by Individual  
Rule 10b5-1 Arrangement Adopted false
Non-Rule 10b5-1 Arrangement Adopted false
Rule 10b5-1 Arrangement Terminated false
Non-Rule 10b5-1 Arrangement Terminated false
v3.25.2
Background (Policies)
 6 Months Ended
Jun. 30, 2025
Accounting Policies [Abstract]  
Basis of Presentation
Basis of Presentation

Our consolidated balance sheet as of December 31, 2024, which was derived from our audited consolidated financial statements, and our unaudited interim consolidated financial statements provided herein have been prepared in accordance with the instructions for Form 10-Q. Certain information and note disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America ("GAAP") have been condensed or omitted pursuant to rules and regulations of the U.S. Securities and Exchange Commission ("SEC"). However, in our opinion, the disclosures made therein are adequate to make the information presented not misleading. We believe these consolidated financial statements include all normal recurring adjustments necessary to fairly state the results for the interim periods. The consolidated results of operations and cash flows for the first six months of the year are not necessarily indicative of the consolidated results of operations and cash flows that might be expected for the entire year. These consolidated financial statements and the accompanying notes should be read in conjunction with the audited consolidated financial statements and the notes thereto included in our Annual Report on Form 10-K for the year ended December 31, 2024.

The accompanying consolidated financial statements include our accounts and the accounts of our subsidiaries. Intercompany amounts and transactions with our consolidated subsidiaries have been eliminated. Transactions with our non-consolidated affiliates (Lumen Technologies and its other subsidiaries, referred to herein as affiliates) have not been eliminated.
Reclassification
We reclassified certain prior period amounts to conform to the current period presentation, including the recategorization of our Business revenue by product category. See Note 4—Revenue Recognition for additional information. These changes had no impact on total operating revenue, total operating expenses or net income for any period.
Segments
Segments

Our operations are integrated into and reported as part of Lumen Technologies. Lumen's CEO is our chief operating decision maker ("CODM") and reviews our financial information on an aggregate basis only in connection with our quarterly and annual reports that we file with the SEC. Our CODM assesses performance and allocates resources in conjunction with and based on the operations of Lumen Technologies. Consequently, we do not provide our discrete financial information to the CODM on a regular basis. As such, we have one reportable segment.
Assets Held for Sale
Assets Held for Sale
We classify assets and related liabilities as held for sale when: (i) management has committed to a plan to sell the assets; (ii) the net assets are available for immediate sale; (iii) there is an active program to locate a buyer; and (iv) the sale and transfer of the net assets is probable within one year. Assets and liabilities held for sale are presented separately on our consolidated balance sheets with a valuation allowance, if necessary, to recognize the net carrying amount at the lower of carrying value or fair value, less costs to sell. Depreciation of property, plant and equipment and amortization of finite-lived intangible assets and right-of-use assets are not recorded while these assets are classified as held for sale. For each reporting period that assets are classified as being held for sale, they are tested for recoverability. Unless otherwise specified, the amounts and information presented in the accompanying notes do not include assets and liabilities that were classified as held for sale as of June 30, 2025.
Recently Issued Accounting Pronouncements
Recently Issued Accounting Pronouncements

In November 2024, the Financial Accounting Standards Board (the "FASB") issued ASU 2024-04, "Debt—Debt with Conversion and Other Options (Subtopic 470-20): Induced Conversions of Convertible Debt Instruments." This ASU clarifies the requirements for determining whether certain settlements of convertible debt instruments should be accounted for as induced conversions rather than as debt extinguishments. This standard is effective for the annual period of fiscal 2026, and early adoption is permitted. As of June 30, 2025, we did not have any outstanding convertible debt instruments and do not expect this ASU will have any impact on our consolidated financial statements.

In November 2024, the FASB issued ASU 2024-03, "Disaggregation of Income Statement Expenses." This ASU requires additional footnote disclosure of the details of certain income statement expense line items as well as additional disclosure about selling expenses. This standard is effective for the annual period of fiscal 2027, and early adoption is permitted. The guidance will be applied prospectively, with the option for retrospective application. We are currently evaluating the impact the adoption of this standard will have on our disclosures.

In December 2023, the FASB issued ASU 2023-09, “Income Taxes (Topic 740): Improvements to Income Tax Disclosures.” This ASU requires that public business entities must annually (1) disclose specific categories in their rate reconciliation and (2) provide additional information for reconciling items that meet a quantitative threshold (if the effect of those reconciling items is equal to or greater than 5 percent of the amount computed by multiplying pretax income or loss by the applicable statutory income tax rate). This ASU will become effective for us for the annual reporting period ending December 31, 2025. The Income Taxes footnote to the consolidated financial statements included in Item 8 of Part II of our Annual Report on Form 10-K for the year ended December 31, 2025 will align with the standard. We do not anticipate this standard will affect our operating results.
Operating Lease Revenue
Operating Lease Revenue

Qwest leases various data transmission capacity, office facilities, switching facilities, and other network sites to third parties under operating leases. Lease and sublease revenue are included in Operating Revenue in our consolidated statements of operations.
v3.25.2
Planned Divestiture of the Lumen Mass Markets Fiber-to-the-Home Business (Tables)
 6 Months Ended
Jun. 30, 2025
Discontinued Operations and Disposal Groups [Abstract]  
Principal Components of Held for Sale Assets and Liabilities
The principal components of the held for sale assets and liabilities of the disposal group as of June 30, 2025 are as follows:
June 30, 2025
(Dollars in millions)
Assets held for sale
Accounts receivable, less allowance of $1
$12 
Other current assets, net
9 
Property, plant and equipment, net of accumulated depreciation of $650
1,344 
Goodwill1,305 
Other assets, net
21 
Total Assets held for sale
$2,691 
Liabilities held for sale
Accounts payable$17 
Other current liabilities2 
Current portion of deferred revenue11 
Other non-current liabilities
1 
Total Liabilities held for sale
$31 
v3.25.2
Goodwill and Intangible Assets (Tables)
 6 Months Ended
Jun. 30, 2025
Goodwill and Intangible Assets Disclosure [Abstract]  
Schedule of Intangible Assets and Goodwill
Goodwill and Intangible assets, net on our consolidated balance sheets consisted of the following:

June 30, 2025December 31, 2024
(Dollars in millions)
Goodwill, less accumulated impairment losses of $2,405 and $2,405(1)
$5,650 6,955 
Intangible assets, less accumulated amortization of $1,648 and $1,841
$100 84 
______________________________________________________________________
(1)     As of June 30, 2025, this amount excluded goodwill classified as held for sale of $1.3 billion. See Note 2—Planned Divestiture of the Lumen Mass Markets Fiber-to-the-Home Business.
Rollforward of Goodwill
The following table shows the rollforward of goodwill from December 31, 2024 to June 30, 2025.
(Dollars in millions)
As of December 31, 2024(1)
$6,955 
Reclassified as held for sale(2)
(1,305)
As of June 30, 2025(1)
$5,650 
______________________________________________________________________
(1)     Goodwill at June 30, 2025 and December 31, 2024 is net of accumulated impairment losses of $2.4 billion and $2.4 billion, respectively.
(2)    Reflects the $1.3 billion of goodwill, net of accumulated impairment loss reclassified as held for sale related to our pending divestiture. See Note 2—Planned Divestiture of the Lumen Mass Markets Fiber-to-the-Home Business
v3.25.2
Revenue Recognition (Tables)
 6 Months Ended
Jun. 30, 2025
Revenue from Contract with Customer [Abstract]  
Schedule of Revenue
The following tables provide our total revenue by product and service category as well as the amount of revenue that is not subject to Accounting Standards Codification ("ASC") 606, "Revenue from Contracts with Customers" ("ASC 606"), but is instead governed by other accounting standards:

Three Months Ended June 30, 2025Six Months Ended June 30, 2025
Total Revenue
Adjustments for Non-ASC 606 Revenue (1)
Total Revenue from Contracts with CustomersTotal Revenue
Adjustments for Non-ASC 606 Revenue (1)
Total Revenue from Contracts with Customers
(Dollars in millions)
Other Broadband$197 (19)178 402 (37)365 
Voice and Other105 7 112 225 3 228 
Fiber Broadband82 (3)79 168 (6)162 
Harvest223 (34)189 434 (63)371 
Nurture85 (3)82 169 (5)164 
Grow32 (2)30 66 (4)62 
Affiliate Services482 (12)470 964 (24)940 
Total revenue$1,206 (66)1,140 2,428 (136)2,292 
Three Months Ended June 30, 2024Six Months Ended June 30, 2024
Total Revenue
Adjustments for Non-ASC 606 Revenue(1)
Total Revenue from Contracts with CustomersTotal Revenue
Adjustments for Non-ASC 606 Revenue(1)
Total Revenue from Contracts with Customers
(Dollars in millions)
Other Broadband$238 (20)218 490 (41)449 
Voice and Other131 (4)127 264 (8)256 
Fiber Broadband98 (3)95 197 (6)191 
Harvest240 (31)209 479 (63)416 
Nurture89 (2)87 178 (4)174 
Grow33 (2)31 67 (2)65 
Affiliate Services560 (12)548 1,106 (24)1,082 
Total revenue$1,389 (74)1,315 2,781 (148)2,633 
____________________________________________________________
(1)Includes regulatory revenue and lease revenue not within the scope of ASC 606.
Customer Receivables and Contract Balances
The following table provides balances of customer receivables and contract liabilities, net of amounts classified as held for sale:

June 30, 2025December 31, 2024
 (Dollars in millions)
Customer receivables, less allowance of $20 and $23 (1)(2)
$170 205 
Contract liabilities(3)
231 244 
______________________________________________________________________
(1)Customer receivables includes affiliate receivables.
(2)     As of June 30, 2025, this amount excluded $12 million of customer receivables, net associated with the disposal group reclassified as held for sale.
(3)     As of June 30, 2025, this amount excluded $10 million of contract liabilities associated with the disposal group reclassified as held for sale.
Contract Costs
The following tables provide changes in our contract acquisition costs and fulfillment costs:

Three Months Ended June 30, 2025Six Months Ended June 30, 2025
Acquisition Costs
Fulfillment Costs(1)
Acquisition Costs
Fulfillment Costs(1)
(Dollars in millions)
Beginning of period balance
$48 47 51 46 
Cost Incurred6 12 11 21 
Amortization(8)(9)(16)(17)
Change in contract costs held for sale
— (6)— (6)
End of period balance
$46 44 46 44 
______________________________________________________________________
(1)    The ending balance for the three and six months ended June 30, 2025 excluded fulfillment costs associated with the disposal group reclassified as held for sale of $6 million.

Three Months Ended June 30, 2024Six Months Ended June 30, 2024
Acquisition CostsFulfillment CostsAcquisition CostsFulfillment Costs
(Dollars in millions)
Beginning of period balance
$57 47 58 46 
Cost incurred9 9 19 19 
Amortization(10)(9)(21)(18)
End of period balance
$56 47 56 47 
v3.25.2
Long-Term Debt (Tables)
 6 Months Ended
Jun. 30, 2025
Debt Disclosure [Abstract]  
Schedule of Long-Term Debt
The following table reflects our consolidated long-term debt as of the dates indicated below, including unamortized discounts and premiums and unamortized debt issuance costs:

Interest Rates (1)
Maturities (1)
June 30, 2025December 31, 2024
   (Dollars in millions)
Senior notes
6.50% - 7.75%
2025-2057$1,973 1,973 
Finance leases
VariousVarious3 3 
Unamortized premiums, net  1 1 
Unamortized debt issuance costs(50)(50)
Total long-term debt  1,927 1,927 
Less current maturities(239)(239)
Long-term debt, excluding current maturities$1,688 1,688 
_______________________________________________________________________________
(1)As of June 30, 2025.
Schedule of Maturities of Long-Term Debt
Set forth below is the aggregate principal amount of our long-term debt as of June 30, 2025 (excluding unamortized premiums, net and unamortized debt issuance costs) maturing during the following years:

(Dollars in millions)
2025 (remaining six months)$238 
20261 
20271 
2028— 
2029— 
2030 and thereafter1,736 
Total long-term debt$1,976 
v3.25.2
Property, Plant and Equipment (Tables)
 6 Months Ended
Jun. 30, 2025
Property, Plant and Equipment [Abstract]  
Components of Property, Plant and Equipment
Net property, plant and equipment is composed of the following:

Depreciable
Lives		June 30, 2025December 31, 2024
(Dollars in millions)
LandN/A$329 329 
Fiber, conduit and other outside plant(1)
15-45 years
7,228 8,246 
Central office and other network electronics(2)
7-10 years
5,312 5,792 
Support assets(3)
3-30 years
2,905 2,878 
Construction in progress(4)
N/A299 530 
Gross property, plant and equipment16,073 17,775 
Accumulated depreciation(8,580)(8,910)
Net property, plant and equipment$7,493 8,865 
_______________________________________________________________________________
(1)Fiber, conduit and other outside plant consists of fiber and metallic cable, conduit, poles, and other supporting structures.
(2)Central office and other network electronics consists of circuit and packet switches, routers, transmission electronics, and electronics providing service to customers.
(3)Support assets consist of buildings, computers, and other administrative and support equipment.
(4)Construction in progress includes inventory held for construction and property of the aforementioned categories that has not been placed in service as it is still under construction.
v3.25.2
Fair Value of Financial Instruments (Tables)
 6 Months Ended
Jun. 30, 2025
Fair Value Disclosures [Abstract]  
Schedule of Carrying Amounts and Estimated Fair Values
The following table presents the carrying amounts and estimated fair values of our financial liabilities as of June 30, 2025 and December 31, 2024, as well as the input level used to determine the fair values indicated below:

  June 30, 2025December 31, 2024
 
Input Level
Carrying
Amount
Fair Value
Carrying
Amount
Fair Value
  (Dollars in millions)
Liabilities—Long-term debt (excluding finance leases)
2$1,924 1,471 1,924 1,462 
v3.25.2
Affiliate Transactions (Tables)
 6 Months Ended
Jun. 30, 2025
Related Party Transactions [Abstract]  
Schedule of Affiliate Revenue
The following table provides details of our affiliate revenue:

Three Months Ended June 30,Six Months Ended June 30,
2025202420252024
 (Dollars in millions)
Direct affiliate revenue
$341 417 686 818 
Allocated affiliate revenue
141 143 278 288 
Total operating revenue—affiliates
$482 560 964 1,106 
v3.25.2
Other Financial Information (Tables)
 6 Months Ended
Jun. 30, 2025
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]  
Schedule of Other Current Assets, Net
The following table presents details of Other current assets, net on our consolidated balance sheets:

June 30, 2025December 31, 2024
(Dollars in millions)
Prepaid expenses$59 98
Contract acquisition costs23 26
Contract fulfillment costs25 26
Other— 2
Total Other current assets, net(1)
$107 152
______________________________________________________________________
(1)    As of June 30, 2025, Other current assets, net excludes $9 million associated with the disposal group reclassified as held for sale.
Schedule of Other Current Liabilities
The following table presents details of Other current liabilities on our consolidated balance sheets:

June 30, 2025December 31, 2024
(Dollars in millions)
Current affiliate obligation$48 48 
Current operating lease liability13 15 
Other44 54 
Total Other current liabilities$105 117 
______________________________________________________________________
(1)    As of June 30, 2025, Other current liabilities excludes $2 million associated with the disposal group reclassified as held for sale.
Schedule of Other Noncurrent Liabilities
The following table presents details of Other liabilities on our consolidated balance sheets:

June 30, 2025December 31, 2024
(Dollars in millions)
Unrecognized tax benefits$469 453
Deferred revenue104 97
Operating lease liability50 49
Other80 86
Total Other liabilities$703 685
______________________________________________________________________
(1)    As of June 30, 2025, Other liabilities excludes $1 million associated with the disposal group reclassified as held for sale.
v3.25.2
Background - General (Details)
Jun. 30, 2025
state
Accounting Policies [Abstract]  
Number of states in which entity operates 14
v3.25.2
Background - Segments (Details)
 6 Months Ended
Jun. 30, 2025
segment
Accounting Policies [Abstract]  
Number of reportable segments 1
v3.25.2
Background - Assets Held for Sale (Details) - state
Jun. 30, 2025
May 21, 2025
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]    
Number of states in which entity operates 14  
Held-for-sale | Lumen Mass Markets fiber-to-the-home business    
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]    
Number of states in which entity operates   11
v3.25.2
Planned Divestiture of the Lumen Mass Markets Fiber-to-the-Home Business - Additional Information (Details)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2025
USD ($)
state
Jun. 30, 2025
USD ($)
state
May 21, 2025
USD ($)
state
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]      
Additional depreciation if disposal group did not meet the held for sale criteria | $ $ 15 $ 15  
Number of states in which entity operates | state 14 14  
Lumen Mass Markets fiber-to-the-home business | Held-for-sale      
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]      
Consideration | $     $ 5,750
Number of states in which entity operates | state     11
v3.25.2
Planned Divestiture of the Lumen Mass Markets Fiber-to-the-Home Business - Principal Components of Held for Sale Assets and Liabilities (Details) - Held-for-sale - Lumen Mass Markets fiber-to-the-home business
$ in Millions
Jun. 30, 2025
USD ($)
Assets held for sale  
Accounts receivable, less allowance of $1 $ 12
Allowance (1)
Other current assets, net 9
Property, plant and equipment, net of accumulated depreciation of $650 1,344
Accumulated depreciation (650)
Goodwill 1,305
Other assets, net 21
Total Assets held for sale 2,691
Liabilities held for sale  
Accounts payable 17
Other current liabilities 2
Current portion of deferred revenue 11
Other non-current liabilities 1
Total Liabilities held for sale $ 31
v3.25.2
Goodwill and Intangible Assets - Schedule of Goodwill (Details) - USD ($)
$ in Millions
Jun. 30, 2025
Dec. 31, 2024
Goodwill and Intangible Assets Disclosure [Abstract]    
Goodwill, less accumulated impairment losses $ 5,650 $ 6,955
Intangible assets, less accumulated amortization 100 84
Goodwill, accumulated impairment losses 2,405 2,405
Intangible assets, accumulated amortization 1,648 $ 1,841
Held-for-sale | Lumen Mass Markets fiber-to-the-home business    
Goodwill [Line Items]    
Goodwill $ 1,305  
v3.25.2
Goodwill and Intangible Assets - Additional Information (Details)
 3 Months Ended 6 Months Ended
Apr. 30, 2025
USD ($)
Jun. 30, 2025
USD ($)
Jun. 30, 2024
USD ($)
Jun. 30, 2025
USD ($)
reporting_unit
Jun. 30, 2024
USD ($)
Dec. 31, 2024
USD ($)
Goodwill and Intangible Assets Disclosure [Abstract]            
Intangible assets, gross (including goodwill)   $ 7,400,000,000   $ 7,400,000,000   $ 8,900,000,000
Number of reporting units | reporting_unit       1    
Excess of estimated fair value of equity over carrying value (as a percent) 15.00%          
Excess of estimated fair value of equity over carrying value, post classification of some assets as held for sale (as a percent) 14.00%          
Goodwill impairment $ 0          
Amortization of intangible assets   $ 9,000,000 $ 12,000,000 $ 17,000,000 $ 25,000,000  
Minimum | Measurement Input, Revenue Multiple            
Goodwill [Line Items]            
Goodwill impairment, measurement input 1.8          
Minimum | Measurement Input, EBITDA Multiple            
Goodwill [Line Items]            
Goodwill impairment, measurement input 5.8          
Maximum | Measurement Input, Revenue Multiple            
Goodwill [Line Items]            
Goodwill impairment, measurement input 3.1          
Maximum | Measurement Input, EBITDA Multiple            
Goodwill [Line Items]            
Goodwill impairment, measurement input 8.0          
v3.25.2
Goodwill and Intangible Assets - Goodwill Rollforward (Details) - USD ($)
$ in Millions
 6 Months Ended
Jun. 30, 2025
Dec. 31, 2024
Goodwill [Line Items]    
Goodwill, accumulated impairment losses $ 2,405 $ 2,405
Goodwill [Roll Forward]    
As of December 31, 2024 6,955  
Reclassified as held for sale (1,305)  
As of June 30, 2025 5,650  
Lumen Mass Markets fiber-to-the-home business | Held-for-sale    
Goodwill [Line Items]    
Goodwill $ 1,305  
v3.25.2
Revenue Recognition - Disaggregation of Revenue (Details) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2025
Jun. 30, 2024
Disaggregation of Revenue [Line Items]        
Total Revenue $ 1,206 $ 1,389 $ 2,428 $ 2,781
Adjustments for non-ASC 606 revenue (66) (74) (136) (148)
Total Revenue from Contracts with Customers 1,140 1,315 2,292 2,633
Other Broadband        
Disaggregation of Revenue [Line Items]        
Total Revenue 197 238 402 490
Adjustments for non-ASC 606 revenue (19) (20) (37) (41)
Total Revenue from Contracts with Customers 178 218 365 449
Voice and Other        
Disaggregation of Revenue [Line Items]        
Total Revenue 105 131 225 264
Adjustments for non-ASC 606 revenue 7 (4) 3 (8)
Total Revenue from Contracts with Customers 112 127 228 256
Fiber Broadband        
Disaggregation of Revenue [Line Items]        
Total Revenue 82 98 168 197
Adjustments for non-ASC 606 revenue (3) (3) (6) (6)
Total Revenue from Contracts with Customers 79 95 162 191
Harvest        
Disaggregation of Revenue [Line Items]        
Total Revenue 223 240 434 479
Adjustments for non-ASC 606 revenue (34) (31) (63) (63)
Total Revenue from Contracts with Customers 189 209 371 416
Nurture        
Disaggregation of Revenue [Line Items]        
Total Revenue 85 89 169 178
Adjustments for non-ASC 606 revenue (3) (2) (5) (4)
Total Revenue from Contracts with Customers 82 87 164 174
Grow        
Disaggregation of Revenue [Line Items]        
Total Revenue 32 33 66 67
Adjustments for non-ASC 606 revenue (2) (2) (4) (2)
Total Revenue from Contracts with Customers 30 31 62 65
Affiliate Services        
Disaggregation of Revenue [Line Items]        
Total Revenue 482 560 964 1,106
Adjustments for non-ASC 606 revenue (12) (12) (24) (24)
Total Revenue from Contracts with Customers $ 470 $ 548 $ 940 $ 1,082
v3.25.2
Revenue Recognition - Operating Lease Revenue (Details) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2025
Jun. 30, 2024
Revenue from Contract with Customer [Abstract]        
Lease income $ 72 $ 71 $ 139 $ 142
Percent of operating revenue 6.00% 5.00% 6.00% 5.00%
v3.25.2
Revenue Recognition - Customer Receivables and Contract Balances (Details) - USD ($)
$ in Millions
Jun. 30, 2025
Jan. 01, 2025
Dec. 31, 2024
Jan. 01, 2024
Capitalized Contract Cost [Line Items]        
Customer receivables, less allowance of $20 and $23 $ 170   $ 205  
Contract liabilities 231 $ 244 244 $ 269
Allowance for credit losses 20   $ 23  
Held-for-sale | Lumen Mass Markets fiber-to-the-home business        
Capitalized Contract Cost [Line Items]        
Customer receivables, less allowance of $20 and $23 12      
Contract liabilities $ 10      
v3.25.2
Revenue Recognition - Additional Information, Contract Costs (Details) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2025
Jun. 30, 2024
Jan. 01, 2025
Dec. 31, 2024
Jan. 01, 2024
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]              
Revenue recognized from prior year contract liability $ 18 $ 13 $ 140 $ 148      
Contract liabilities $ 231   $ 231   $ 244 $ 244 $ 269
Minimum              
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]              
Contract term     1 year        
Maximum              
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]              
Contract term     5 years        
Weighted Average | Mass Markets Customers, Average Contract Life              
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]              
Length of customer life     47 months        
Weighted Average | Business Customer, Average Contract Life              
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]              
Length of customer life     34 months        
v3.25.2
Revenue Recognition - Additional Information, Performance Obligation (Details)
$ in Millions
Jun. 30, 2025
USD ($)
Revenue from Contract with Customer [Abstract]  
Remaining performance obligation $ 2,100
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]  
Remaining performance obligation 2,100
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2025-07-01  
Revenue from Contract with Customer [Abstract]  
Remaining performance obligation $ 360
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]  
Expected timing of satisfaction, period 6 months
Remaining performance obligation $ 360
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2026-01-01  
Revenue from Contract with Customer [Abstract]  
Remaining performance obligation $ 825
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]  
Expected timing of satisfaction, period 1 year
Remaining performance obligation $ 825
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2027-01-01  
Revenue from Contract with Customer [Abstract]  
Remaining performance obligation $ 866
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]  
Expected timing of satisfaction, period 1 year
Remaining performance obligation $ 866
v3.25.2
Revenue Recognition - Contract Costs (Details) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2025
Jun. 30, 2024
Acquisition Costs        
Capitalized Contract Cost [Line Items]        
Beginning of period balance $ 48 $ 57 $ 51 $ 58
Cost Incurred 6 9 11 19
Amortization (8) (10) (16) (21)
Change in contract costs held for sale 0   0  
End of period balance 46 56 46 56
Fulfillment Costs        
Capitalized Contract Cost [Line Items]        
Beginning of period balance 47 47 46 46
Cost Incurred 12 9 21 19
Amortization (9) (9) (17) (18)
Change in contract costs held for sale (6)   (6)  
End of period balance 44 $ 47 44 $ 47
Fulfillment Costs | Held-for-sale | Lumen Mass Markets fiber-to-the-home business        
Capitalized Contract Cost [Line Items]        
End of period balance $ 6   $ 6  
v3.25.2
Long-Term Debt - Schedule of Long Term Debt (Details) - USD ($)
$ in Millions
Jun. 30, 2025
Dec. 31, 2024
Long-term debt    
Long-term debt, gross $ 1,976  
Unamortized premiums, net 1 $ 1
Unamortized debt issuance costs (50) (50)
Total long-term debt 1,927 1,927
Less current maturities (239) (239)
Long-term debt, excluding current maturities 1,688 1,688
Senior notes    
Long-term debt    
Long-term debt, gross $ 1,973 1,973
Senior notes | Minimum    
Long-term debt    
Stated interest rate 6.50%  
Senior notes | Maximum    
Long-term debt    
Stated interest rate 7.75%  
Finance leases    
Long-term debt    
Long-term debt, gross $ 3 $ 3
v3.25.2
Long-Term Debt - Schedule of Debt Maturity (Details)
$ in Millions
Jun. 30, 2025
USD ($)
Debt Disclosure [Abstract]  
2025 (remaining six months) $ 238
2026 1
2027 1
2028 0
2029 0
2030 and thereafter 1,736
Total long-term debt $ 1,976
v3.25.2
Property, Plant and Equipment - Components (Details) - USD ($)
$ in Millions
Jun. 30, 2025
Dec. 31, 2024
Property, Plant and Equipment [Line Items]    
Gross property, plant and equipment $ 16,073 $ 17,775
Accumulated depreciation (8,580) (8,910)
Net property, plant and equipment 7,493 8,865
Land    
Property, Plant and Equipment [Line Items]    
Gross property, plant and equipment 329 329
Fiber, conduit and other outside plant    
Property, Plant and Equipment [Line Items]    
Gross property, plant and equipment $ 7,228 8,246
Fiber, conduit and other outside plant | Minimum    
Property, Plant and Equipment [Line Items]    
Depreciable Lives 15 years  
Fiber, conduit and other outside plant | Maximum    
Property, Plant and Equipment [Line Items]    
Depreciable Lives 45 years  
Central office and other network electronics    
Property, Plant and Equipment [Line Items]    
Gross property, plant and equipment $ 5,312 5,792
Central office and other network electronics | Minimum    
Property, Plant and Equipment [Line Items]    
Depreciable Lives 7 years  
Central office and other network electronics | Maximum    
Property, Plant and Equipment [Line Items]    
Depreciable Lives 10 years  
Support assets    
Property, Plant and Equipment [Line Items]    
Gross property, plant and equipment $ 2,905 2,878
Support assets | Minimum    
Property, Plant and Equipment [Line Items]    
Depreciable Lives 3 years  
Support assets | Maximum    
Property, Plant and Equipment [Line Items]    
Depreciable Lives 30 years  
Construction in progress    
Property, Plant and Equipment [Line Items]    
Gross property, plant and equipment $ 299 $ 530
v3.25.2
Property, Plant and Equipment - Additional Information (Details) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2025
Jun. 30, 2024
Property, Plant and Equipment [Abstract]        
Depreciation $ 165 $ 175 $ 348 $ 349
v3.25.2
Fair Value of Financial Instruments (Details) - Fair value measurements, nonrecurring - Fair value inputs, Level 2 - USD ($)
$ in Millions
Jun. 30, 2025
Dec. 31, 2024
Carrying Amount    
Fair Value Disclosure    
Liabilities—Long-term debt (excluding finance leases) $ 1,924 $ 1,924
Fair Value    
Fair Value Disclosure    
Liabilities—Long-term debt (excluding finance leases) $ 1,471 $ 1,462
v3.25.2
Affiliate Transactions - Additional Information (Details) - Affiliates - USD ($)
$ in Millions
Jun. 30, 2025
Mar. 31, 2025
Dec. 31, 2024
Related Party Transaction [Line Items]      
Note receivable - affiliates $ 900   $ 0
Lumen Technologies, Inc.      
Related Party Transaction [Line Items]      
Note receivable, amount permitted to be borrowed   $ 3,000  
Interest rate (as a percent)   8.30%  
Note receivable - affiliates $ 900    
v3.25.2
Affiliate Transactions - Affiliate Revenue (Details) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2025
Jun. 30, 2024
Related Party Transaction [Line Items]        
Total revenue $ 1,206 $ 1,389 $ 2,428 $ 2,781
Affiliates        
Related Party Transaction [Line Items]        
Total revenue 482 560 964 1,106
Affiliates | Direct affiliate revenue        
Related Party Transaction [Line Items]        
Total revenue 341 417 686 818
Affiliates | Allocated affiliate revenue        
Related Party Transaction [Line Items]        
Total revenue $ 141 $ 143 $ 278 $ 288
v3.25.2
Commitments, Contingencies and Other Items (Details)
 6 Months Ended
Dec. 30, 2021
lawsuit
People
Jun. 30, 2025
USD ($)
patent
Dec. 31, 2024
USD ($)
Loss Contingencies [Line Items]      
Estimate of possible loss   $ 17,000,000 $ 17,000,000
Number of people killed | People 2    
Number of patent infringement lawsuits | patent   1  
Marshall Fire Litigation | Pending Litigation      
Loss Contingencies [Line Items]      
Number of lawsuits | lawsuit 300    
Marshall Fire Litigation | Pending Litigation | Minimum      
Loss Contingencies [Line Items]      
Estimate of possible loss   $ 2,000,000,000  
Statutory Damages | FCPA Litigation | Judicial Ruling      
Loss Contingencies [Line Items]      
Amount awarded to other party   500  
Punitive Damages | FCPA Litigation | Judicial Ruling      
Loss Contingencies [Line Items]      
Amount awarded to other party   2,000  
Unfavorable Regulatory Action      
Loss Contingencies [Line Items]      
Estimate of possible loss   $ 300,000  
v3.25.2
Other Financial Information - Other Current Assets, Net (Details) - USD ($)
$ in Millions
Jun. 30, 2025
Dec. 31, 2024
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]    
Prepaid expenses $ 59 $ 98
Contract acquisition costs 23 26
Contract fulfillment costs 25 26
Other 0 2
Total Other current assets, net 107 $ 152
Held-for-sale | Lumen Mass Markets fiber-to-the-home business    
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]    
Other current assets, net $ 9  
v3.25.2
Other Financial Information - Other Current Liabilities (Details) - USD ($)
$ in Millions
 6 Months Ended 12 Months Ended
Jun. 30, 2025
Dec. 31, 2024
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]    
Current affiliate obligation $ 48 $ 48
Current operating lease liability 13 15
Other 44 54
Total Other current liabilities 105 117
Capital expenditures 9 $ 57
Held-for-sale | Lumen Mass Markets fiber-to-the-home business    
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]    
Other current liabilities 2  
Accounts payable $ 17  
v3.25.2
Other Financial Information - Other Liabilities (Details) - USD ($)
$ in Millions
Jun. 30, 2025
Dec. 31, 2024
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]    
Unrecognized tax benefits $ 469 $ 453
Deferred revenue 104 97
Operating lease liability 50 49
Other 80 86
Total Other liabilities $ 703 $ 685
v3.25.2
Labor Union Contracts (Details) - Union employees concentration risk
 6 Months Ended
Jun. 30, 2025
Employees covered under collective bargaining agreements  
Labor Union Contracts  
Concentration risk percentage 42.00%
Workforce Subject to Collective-Bargaining Arrangements Expiring within One Year  
Labor Union Contracts  
Concentration risk percentage 99.00%