Lumos follows Google Fiber pricing playbook with $70 FTTH service promotion

Lumos Networks is jumping onto the 1 Gbps pricing track laid by Google Fiber with a new two-year promotion targeting eligible consumers in its RLEC fiber footprint.

The service provider’s Gigabit FAST service is available to 100 percent of all of the residential homes passed by Lumos fiber in its entire RLEC footprint.

But attracting more consumers to 1 Gbps is only one part of Lumos' latest residential broadband service drive.

RELATED: Lumos: We now offer 1 Gbps across entire RLEC footprint

Since most consumers won’t immediately migrate to 1 Gbps, Lumos is following the trend set by larger telcos like Verizon and regional cable operator Grande, to increase other speed tiers.

The service provider will increase to its middle speed profiles by moving existing fiber internet customers from 50 Mbps to 75 Mbps and 100 Mbps to 150 Mbps.

Lumos' newly available fiber download speed profile options now consist of 75 Mbps, 150 Mbps, and 1 Gbps. The $69.95 promotional rate for the 1 Gbps is a limited-time offer in the Alleghany Highlands, Waynesboro/Augusta County, and Troutville/Botetourt County gigabit fiber service areas.

This pricing promotion comes at an interesting time for Lumos.

In April, Lumos Networks announced that its 1 Gbps service was available across its entire RLEC fiber-to-the-premise (FTTP) footprint.

The telco started its gigabit internet rollout in 2015, targeting the Alleghany Highlands region and expanded its reach in January to Botetourt County. Currently, Lumos covers nearly 20,000 premises with its most recent expansion into the Waynesboro/Augusta County market in the Lynchburg area.

By completing its FTTH network expansion, Lumos also makes the RLEC properties more attractive to potential buyers of the assets when the service provider separates the ILEC and fiber businesses next year.

Tim Biltz, CEO of Lumos Networks, told investors during its third-quarter earnings call that now that it has completed its analysis of separating its fiber and RLEC operations, it expects to create a pure-play fiber entity sometime next year.