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Bell Canada’s Ziply Acquisition Raises Questions About Open Access In The Pacific Northwest
Canada’s biggest telecom giant has acquired Ziply Fiber – and a sizable swath of municipal operation agreements for open access fiber scattered across the Pacific Northwest. Bell Canada and Ziply’s joint announcement indicates that the full deal will be around $5 billion Canadian, plus an additional $2 billion in acquired debt.
The acquisition could help accelerate Ziply’s planned expansion across the Pacific Northwest, where the company’s fiber network currently passes 1.3 million locations across Montana, Idaho, Oregon, and Washington State.
At the same time, Bell Canada’s history of anti-competitive behavior could herald a culture shift at the ascending provider. Ziply and Bell Canada’s rapid-fire acquisition of smaller providers across the Pacific Northwest could also risk undermining the pro-competitive benefits of the kind of open access policies Ziply previously embraced.
Ziply was formed when WaveDivision Capital purchased Frontier Communications’ Pacific Northwest operations in 2020. It has quickly become a major player across the four states thanks in part to numerous public private partnerships with municipalities, and a 2022 announcement of $450 million in new private sector funding.
Ziply, iFIBER Merger Could Boost Washington State Broadband Access
Ziply Fiber has been increasingly active across Washington State, helping municipalities expand access to affordable, open access fiber networks. Those efforts have received a significant boost with the news that Ziply has acquired iFiber Communications, a Washington state open access ISP that works closely with Washington’s growing public utility districts (PUDs).
According to the Ziply announcement, the acquisition was for an undisclosed sum, but should dramatically help the company’s focus on expanding affordable fiber broadband service to Pacific Northwest customers long unserved or underserved by regional broadband monopolies like Comcast and Frontier Communications.
Ziply Fiber has unveiled new fiber construction projects across more than 90 cities and towns across the Northwest since the company began its fiber expansion plans in the summer of 2020. The iFiber acquisition is the second this year, Ziply having acquired Oregon fiber and wireless ISP Eastern Oregon Net, Inc (EONI) last June.
They’ve been particularly active in Washington state, most recently partnering with the Snohomish county government to leverage a $16.7 million Broadband Infrastructure Acceleration grant to expand affordable fiber access across the county. Ziply’s also been in talks with Whidbey Island, Washington officials on a major fiber expansion push.