Emerick expects an additional $10 million to $20 million in new equipment will also be purchased to ensure reliability. Verizon purchased the building last year, but won't disclose the location, citing security reasons. Verizon currently operates three other Michigan switching centers in metro Detroit.

Emerick says the building is protected with advanced security, including a 10,000-gallon diesel tank and a generator that can run for up to 100 hours at a time, 24-hour video security and password-controlled doors. "With usage rates growing at the [40% to 50% annual] rates they are, we just keep running out of space [in our buildings]," he says. The building houses computers that control Verizon services from Ann Arbor to the mid-Thumb area.

The upgrades follow some $20 million in improvements by wireless competitors such as Sprint PCS, SBC Communications and Comcast Corp. following a power outage last August that crippled the Midwest.