Cityfibre Pick Fibre Optic ISP Partners for Milton Keynes and Northampton

Fibre optic infrastructure developer Cityfibre has today moved forward with its plan to expand their pure fibre optic based Fibre-to-the-Premises (FTTP) / Ethernet network into the large towns of Milton Keynes and Northampton by signing up with two ISP partners in a deal worth £7 million.

The operator recently acquired the new metro networks as part of their £90 million move to gobble KCOM Group’s UK network assets (excluding those in and around the Hull area in East Yorkshire), which should eventually enable them to expand into 50 cities by 2020.

Apparently the new contracts are with Northampton-based DBfB and Bradford-based Exa Networks (Exa already has a similar arrangement with Cityfibre in Bradford and Leeds). Both deals are understood to involve a 6 year agreement to provide connectivity to 500 businesses and schools across Milton Keynes and Northampton.

Greg Mesch, CEO of CityFibre, said:

“I’m very pleased to be able to announce further rapid progress in commercialising the acquired footprint. In a little under four months, we’ve added £15.7m in new contracted revenues covering 950 new committed connections in five cities, as well as capacity sales on the national long distance network.

This latest deal delivers anchor customers in two market verticals, adding DBfB as our 47th service provider partner, and expanding our existing relationship with Exa Networks. The combined contract value of the new business added on the acquired assets to date, including the minimum revenue commitment from KCOM, now totals £40.7m.”

Since closing the KCOM acquisition Cityfibre claims to have sold 950 connections across five of the acquired metro networks and added £15.7m in initial contract value covering both the business and public sector market segments. Today’s contracts also take CityFibre past the milestone of 5,000 total customer connections sold since the company’s inception.