KeyOn Communications, which recently revealed it had applied for broadband stimulus funds to roll out WiMAX, announced plans to launch an aggressive acquisition initiative, called Rural UniFi, which it says is designed to rapidly expand its subscriber base and network footprint.
The wireless broadband, satellite video and VOIP provider said it already has a network covering 50,000 square miles in 11 states, making it ideally positioned to integrate wireless broadband companies in contiguous areas. The company has already made four acquisitions, which resulted in subscriber and revenue growth.
"We have been focused on growing broadband subscribers in rural markets for over seven years, having evolved from a single market operator to a company that is one of the largest providers of wireless broadband in the country," said Jonathan Snyder, president and CEO of KeyOn. "The rural wireless broadband industry is extremely fragmented, with very few companies realizing any economies of scale in their businesses. Considering the current lack of capital available in the market, the Rural UniFi initiative represents a way for wireless broadband companies to unlock the value of their networks. Our companies can share in the upside of a larger, scalable company while we leverage our existing systems, management experience and wide distribution network. Over the coming months, we expect to make several announcements about companies that have agreed to join the initiative."
KeyOn requested an unspecified amount of broadband stimulus funds to build a WiMAX network in the 3.65 GHz band to expand its current rural coverage area from 2.5 million people to 6.5 million across 16 states.
For more:
- see this KeyOn release
Related article:
Broadband stimulus applications stretch from 700 MHz to 3.65 GHz