- Gigapower finally gets a second ISP – Flume – for its open access network
- The partnership will focus on multi-dwelling unit (MDU) connectivity
- Open access could be a key differentiator in underserved markets, said a speaker at Broadband Nation Expo
It’s happening. Gigapower inked a contract with Flume, which will be the second ISP – after AT&T – to join Gigapower’s now-officially open access network.
We saw the move coming, as Gigapower CRO Jeff Seidenfaden told us in September another provider was on the way and that the operator was in talks with “multiple ISPs” after wrapping up construction in six states.
Flume, an ISP geared toward multi-family properties, will offer fiber-to-the-unit or managed Wi-Fi internet service (for an entire property) to apartment buildings across the Mesa, Arizona area, according to the press release.
Gigapower amps MDU focus
Indeed, multi-dwelling unit (MDU) connectivity seems to be the cornerstone of the arrangement.
“In addition to serving single family homes in residential neighborhoods, Gigapower understands that residents and families residing in apartment complexes and condominiums require quality internet service similar to services available in single family neighborhoods,” said Gigapower in a statement.
The big carriers are eyeing urban and MDU expansion as a way to beef up their fixed wireless access (FWA) market share. T-Mobile broadband chief Allan Samson said this week 70% of its new FWA customers are city-based. Verizon is also looking to grow its urban FWA base by acquiring Starry.
In Flume’s case, it wants to fill urban connectivity gaps, especially for low-income housing. The ISP in July announced it teamed up with Clinton Housing Development Company (CHDC) to deploy fiber for affordable housing residents in New York City.
As for Gigapower, it’s working to reach most of its 1.5 million fiber passings target by 2027, Seidenfaden said in September. He declined to share Gigapower’s current passings count but noted the company is going after markets “that have some size to them.”
Open access still has plenty of room to grow
With Flume as a customer, Gigapower joins the ranks of other open access operators that host multiple ISPs under the same infrastructure. Those include Utopia Fiber (which has called out Gigapower for its lack of partner ISPs), Intrepid, Si-Fi Networks and Tillman.
Open access still isn’t as widespread in the U.S. as it is in Europe and other parts of the world, but the model could be a helpful differentiator in underserved markets, noted a speaker at Broadband Nation Expo this week.
Brock Walters, chief information officer at Silverstar, said his company started doing open access a couple of years ago because it wanted to reel in local providers “that we feel are connected to us.”
The idea was not just to improve customer experience and competition but also bolster its business case when going into certain markets, he said on a panel about rural broadband challenges.
“We try and size the market for the number of ISPs that are going to be on [the network] so they can also be invested into the organization,” Walters explained. “We felt like this has really helped us not only with take rates, but just overall being able to fund these types of projects.”