Can Connecting Communities To Gigabit Internet Transform ADTRAN, Inc. (NASDAQ:ADTN)?

Can Connecting Communities To Gigabit Internet Transform ADTRAN, Inc. (NASDAQ:ADTN)?

ADTRAN, Inc. (NASDAQ:ADTN) has identified an exciting business opportunity that could be a key source of growth in the coming years. That business opportunity revolves around bridging the Gigabit Internet divide. In a recent update, the company highlighted how unconventional providers were using its Gigabit services to connect underserved communities in the U.S. to Gigabit broadband.

According to ADTRAN, it is seeing a growing number of different types of service providers tapping into its Gigabit solutions to expand access to ultra-high speed Internet in regions not covered by conventional Gigabit broadband providers. The unconventional service companies using ADTN’s gears to connect communities include utilities, land developers, multiple system operators (MSOs) and competitive local exchange carriers (CLEC).

350 communities connected

With the involvement of non-traditional providers helping in the dissemination of Gigabit broadband, ADTRAN, Inc. says more than 350 communities have been able to transition to Gigabit Internet. It is the kind of Internet that allows users to stream online videos, games and carry out other online operations without much or any lag time.

Who are these unconventional providers?

On the utilities side, one of the providers who have taken matters into their own hands to bridge the Gigabit divide in the regions it serves is Guadalupe Valley Electric Co-op (GVEC). According to GVEC’s Tad Vernor, there were limited Internet connectivity options in rural areas that the utility serves and that created a disadvantage for its members and businesses. That was when the thought of partnering with ADTRAN to render Gigabit broadband to the community came to GVEC and it turned out to be a huge success, being a catalyst for economic expansion in these regions.

According to ADTRAN, its partner GVEC hopes to expand its Gigabit broadband coverage after seeing what the service can do for businesses and residents in regions that it has already covered.

MSOs spreading Gigabit Internet

Another unconventional Gigabit broadband provider trying to fill a gap using ADTRAN, Inc.’s solutions is enTouch. The communications company is taking ultra-fast Internet to residents and businesses in Houston metroplex, thus bridging a major Internet gap in the community.

ADTRAN, Inc. hopes the strategy of partnering with unconventional providers could provide a major boost to its growth prospects.