A National Win for Zayo’s FTT Efforts

September 6th, 2016 by · Leave a Comment

Zayo announced a new wireless backhaul deal this morning, and it's a big one.  They will be upgrading and expanding one of their wireless customers' fiber-to-the-tower network, including bringing dark fiber to more than 1,800 sites across 26 markets.

That last bit is perhaps the most interesting portion.  Zayo's wins in the FTT space have generally been a market-by-market thing, focused on a metro area and perhaps stretching into the surrounding countryside.  This one spans 26 markets nationwide, of which 20 are existing Zayo FTT markets -most of those Zayo has built out FTT networks in, actually.  And that means that Zayo is in many cases getting additional tenants on towers it already has on-net - transforming what had in some cases been longer-term, somewhat more speculative investments into happy cash cows.

The other 6 markets, however, will be new FTT buildouts for the company.  They didn't say in this announcement which those 6 are, but I'm sure we'll get more color in a couple months when Zayo reports its fiscal Q1 earnings and provides that sort of detail.  They are, of course, places where Zayo already has substantial metro depth, just not to lots of towers yet.  When complete, the expansion will take Zayo past the 10,000 on-net tower milestone.  They also have a couple thousand small cell sites in the works beyond that.

Categories: Metro fiber · Wireless

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