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The way the Fios connection will work is that there is a fiber optic cable connection (buried) that comes in from Verizon, usually to an outside junction box. That box (or possibly a secondary box inside, depending on how your building is set up) will act as a "gateway", typically splitting out the fiber into a coax or ethernet connection that feeds your router/network, and to phone line connections. These phone line connections are digital rather than the traditional copper (POTS) lines, but behave the same way. They will connect to a punch down block or rj11 terminated connection that ultimately consists of the "CO" lines that then feed your pbx system.