A Texas-based telecommunications company anticipates beginning infrastructure work on a fiber network in Albuquerque by September now that it has finalized a license agreement.
Vexus Fiber, which currently operates networks in the Texas cities of Lubbock, Amarillo, Wichita Falls and Abilene, plans to begin building the 100% fiber network in areas north of Downtown, according to a news release. Service to customers in that initial area could begin within 90 to 120 days from the start date, the release said.
Building the entire network could take about three years to complete, according to the news release. The company said Albuquerque will be the largest city it has served so far.
This week, company officials began to sketch out the initial service area, Vexus Fiber vice president of sales and marketing Kyle Alcorn said in an email to Albuquerque Business First.
"Once design and permitting are completed we are looking about 90 days after that to have an area with the first passings ready for customers assuming the hub site is done," he said.
The hub site Alcorn refers to is where the company will store its electronics and other infrastructure and have warehouse and office space.
Alcorn said the company is in final negotiations for securing the location but did not offer specifics.
The company has started hiring for the construction phase and anticipates hiring 200 people to begin the buildout.
The agreement between Vexus Fiber and the city was announced Monday. It contains provisions to secure access to fiber speeds in Albuquerque's underserved neighborhoods, said Albuquerque's broadband program manager Catherine Nicolaou.
Nicolaou, who manages the city's efforts to increase internet access and create new initiatives to benefit city residents, said Vexus will offer a level of service through the Federal Communications Commission's Affordable Connectivity Program. Based on household income, consumers can qualify for a $30 per month subsidy for internet service.
The project is a game-changer, Nicolaou said.
"This will be the first fiber to the home network in Albuquerque," she said. "It speaks to digital equity and inclusion, because regardless of where someone lives or how much they earn they will be able to access the internet at the fastest available speed."
In announcing the plans to expand into Albuquerque last October, Vexus CEO Jim Gleason said the company would invest a total of $250 million into network infrastructure and anticipated creating 150 jobs. Since that announcement, Vexus announced plans to expand its service to Santa Fe and named Kevin Folk as its regional vice president of operations for New Mexico.
In June, Vexus merged with MetroNet, a fiber broadband provider based in Evansville, Indiana, that has a presence in the Midwest and the southeastern U.S. The two companies shared a common investor — Oak Hill Capital Partners, located in Connecticut, New York and California.
Vexus, formerly called NTS Communications, was previously acquired by Vast Broadband, which announced the close of the deal in September 2019. Oak Hill Capital Partners and Pamlico Capital led a recapitalization of Vast Broadband and NTS, according to the Vast announcement.
