Windstream has garnered an agreement to connect its long-haul wholesale network to the Switch CONNECT carrier portfolio, giving it another way to enhance wholesale revenues.
Under the terms of the agreement, Windstream Wholesale will provide additional high-capacity transport connectivity between three rapidly growing Switch data center campus locations in Las Vegas, Nevada (The Core Campus), Tahoe Reno, Nevada (The Citadel Campus), and Grand Rapids, Michigan (The Pyramid Campus).
Switch data center clients will have access to Windstream’s coast-to-coast 147,000-mile fiber network. Customers will also be able to access Windstream Wholesale’s portfolio of services including: optical wavelength bandwidth up to 100G; MEF 2.0 E-Access up to 1 Gbps; MPLS service with bandwidths up to 1 Gbps; and dedicated internet access at bandwidths up to 10 Gbps.
“Partnering with Switch—a recognized world leader in colocation design, development and mission critical operations—brings even greater connectivity options to wholesale and large-scale enterprise customers across the United States as they seek to grow and expand their own network capabilities,” Joe Scattareggia, SVP of sales for Windstream Wholesale, in a release.
Being able to establish agreements with data center providers like Switch is another way that Windstream can enhance revenue opportunities for this unit, particularly as the service provider expands its on-net fiber footprint via acquisitions like EarthLink and organic builds.
The service provider recently expanded its network in Detroit. Windstream is also expanding its metro fiber networks in other cities including Charlotte, North Carolina; Nashville, Tennessee; Richmond, Virginia; Minneapolis; Atlanta; Chicago and Cleveland.
However, Windstream has work to do in the wholesale arena. During the first quarter, Windstream’s wholesale service revenues were $158 million, down 3.5% year-over-year, and contribution margin was $108 million compared to $118 million in the same period a year ago.