MetroNet Vexus Merger Continues Fiber Network Consolidation

Fiber network consolidation continues with the news of a complementary merger between MetroNet and Vexus Fiber. MetroNet operates primarily in multiple Midwest and southeastern states, while Vexus has concentrated on Texas, New Mexico and Louisiana. Both companies have been expanding aggressively through internal growth. MetroNet and Vexus will continue to operate under their current brands with their current management teams. MetroNet offers service in more than 120 communities in Indiana, Illinois, Iowa, Kentucky, Michigan, Minnesota, Ohio, Florida, North Carolina, Virginia Texas, Wisconsin and Missouri. Texas is the only state in which both MetroNet and Vexus have operations. Vexus was originally known as NTS Communications, which was acquired by Vast Broadband in 2019. Vast subsequently changed the NTS name to Vexus; then in October 2020, Vast was acquired by GI Partners. Mergers such as the one between MetroNet and Vexus are becoming quite commonplace as competitive carriers are in a sort of fiber-to-the-premises (FTTP) land grab. FTTP is looking like an increasingly attractive opportunity, now that consumers are demanding faster upstream speeds that can be supported by fiber broadband but not traditional cable infrastructure. The upshot is that whoever brings FTTP first to a market has a substantial competitive edge.