Southfield-based internet, colocation, and voice services provider 123NET has acquired dedicated spectrum frequencies (LMDS 29-31 GHz) from GeoLinks, a California hybrid network provider in the fixed wireless space, to expand its wireless internet service offering. Terms of the transaction were not disclosed.
The FCC controls the frequencies, or spectrum, that are used to transmit data through the airwaves. This spectrum is occasionally made available to internet service providers to deliver connectivity. 123NET’s spectrum acquisition will ensure its clients’ wireless transmissions are protected in an exclusive frequency, therefore free from interference or delay.
The spectrum will deliver “superior performance” and allow 123NET to service a broader array of customers across Michigan, 123NET says.
“Having dedicated spectrum will usher in a new chapter for our wireless services,” says Justin Lampman, director of network operations for 123NET. “Spectrum is extremely difficult to obtain. Now that we have it, the competitive advantage we gain will benefit our customers immediately and in the years to come.”
Lampman says 123NET wireless services are an ideal solution for customers looking for:
Quick installation: In virtually all cases, it’s much quicker and more affordable to set up a customer on wireless versus a wireline solution. Implementation takes days, not weeks or months.
Difficult or hard-to-reach locations: Wireless is free from the limitations of land-based communication, making it ideal for metro customers in dense urban environments, across a highway, railroad, or river.
Security: Data is secure; 123NET’s Wireless Technology uses AES or equivalent encryption.
Redundancy: Wireless customers don’t have to worry about downtime caused by a cut cable. Wireless often is used in conjunction with fiber to provide added redundancy to organizations that cannot afford to have data interruptions.
GeoLinks, the largest holder of LMDS Spectrum in the U.S., originally purchased this spectrum from Verizon as part of a package that helped GeoLink’s national expansion.
“We are excited to select 123NET as the first recipient of our highly valuable spectrum through the sale of our Detroit licenses,” says Skyler Ditchfield, co-founder and CEO of GeoLinks. “Like us, 123NET is a provider that utilizes fixed wireless in highly competitive dense metro markets. “This acquisition will give them a massive leg up on the competition – both wireless and fiber – by enabling rapid deployment and delivery of multi-gigabit services. We look forward to seeing their business further excel as they demonstrate the capabilities of fixed wireless in dense urban environments.”
Major telecom companies have spent billions of dollars to secure spectrum for their 5G rollouts, highlighting the value of the proprietary frequencies. Although it’s unusual for regional companies like 123NET to add spectrum, the performance jump is so dramatic that the company says it decided to make a substantial investment to attract and retain clients.
“123NET is dedicated to building network to make Michigan communities and businesses the best connected on the planet,” says Chuck Irvin, vice president of 123NET. “To accomplish that goal requires near constant investment in our network, so the opportunity to buy spectrum was simply too good to pass. We think it will be a game-changer.”