If all Verizon is doing is taking a retail shrinkwrapped device and installing it for their
customers, then you may have a point. (That said, on the surface Actiontec seems to be
complying with the GPL -- see http://opensource.actiontec.com/index.html ) Even if Verizon is
using off-the-shelf devices, they still need to include the GPL text and the upstream "source
code offer" (or whatever) in the documentation of the device that their technicians hand over
to the end-user.
But I suspect this device is at least branded for Verizon and as such is something only made
available through the purchase of a Verizon service. As Verizon offers (presumably non-stock)
firmware binaries for download off their support site, this places the ball squarely in
The question of whether or not they've modified the sources is irrelevant; they, as
distributors, still have to comply with the GPL.