The next major shift in broadband competition may be happening under the radar.
We've all heard about the Verizon-Frontier, AT&T-Lumen, and Charter-Cox deals.
But the GFiber-Astound combination may be just as important for multifamily owners.
GFiber and Astound announced plans to combine, creating a larger independent broadband provider backed by Stonepeak, with Alphabet retaining a minority stake. The transaction is expected to close later this year.
Why does that matter?
Competition is leverage.
When multiple providers can realistically serve a property, owners have more leverage on pricing, door fees, revenue share, service levels, technology upgrades, and contract terms.
A larger GFiber-Astound platform could give more properties another serious alternative to the traditional cable providers.
And unlike the headline-grabbing cable and telecom mergers, this one hasn't received nearly as much attention.
It should.
Multifamily owners are signing telecom agreements that can run 10, 15, or even 20 years.
The competitive landscape when you sign the agreement may look very different five years later.
That's why I don't like agreements that assume today's competitive landscape will remain unchanged.
The provider that isn't a realistic option today may become your strongest negotiating leverage tomorrow.
Owners shouldn't just negotiate for today's competition.
They should protect their ability to benefit from tomorrow's.
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