Consolidated Communications Holdings Inc. is doubling down on high-speed internet service it provides locally, offering speeds up to 2 gigabits to residential customers.
The move comes just over a month after the telecom company launched its gigabit Fidium internet service, available to 100,000 local households.
“Fidium is about constant innovation and improvement. We think our customers deserve the best, and I’m excited for folks to see just how powerful WiFi 6 and two-gig symmetrical fiber internet can be,” said Erik Garr, president of consumer and small business for Consolidated, in a news release.
Mattoon, Illinois-based Consolidated (Nasdaq: CNSL) just rolled out the gigabit service in May for $70 per month. The 2-gigabit service goes for $165 a month.
The pricing for the 2-gigabit service is more than double the cost of the 1-gigabit service, but that is a result of the introductory pricing for the gigabit service for the first year. After a year, the single gigabit goes to $99, so the 2-gigabit will appear to be a better deal, said spokeswoman Nicole Elton.
The customer demand for the gigabit service is the highest, so it has introductory pricing, she said. The 2-gigabit service is aimed at households that include multiple users streaming high-bandwidth applications or for serious online gamers.
The company’s gigabit and 2-gigabit service price includes equipment and doesn’t require bundling with other services. Fidium comes with a router and a high-efficiency Wi-Fi 6 wireless gateway and a smart home management platform.
The service is symmetrical, which means it has the same upload and download speeds.
The high-speed service is available in Sacramento, Roseville, Citrus Heights, Antelope, Rancho Cordova, Elk Grove, Lincoln and Carmichael, with another 40,000 households to be added by the end of the year.
Consolidated entered the Northern California market a decade ago when it bought Roseville-based SureWest Communications Inc. in a $324 million deal. SureWest started in Roseville in 1914 as Roseville Telephone Co. Consolidated is the legacy incumbent phone provider in Roseville and parts of Citrus Heights.
Earlier this year, New Jersey telecommunications company SiFi Networks began laying optical fiber throughout Rancho Cordova, offering download speeds of 10 gigabits to every home and business address.
In December, San Diego-based communications infrastructure company Netly Fiber said it plans to spend $50 million over the next two years to install wholesale fiber optic connections to every address in Folsom.
Those two companies operate their distribution network and hub, but other carriers make the connections to the internet.
In the case of Consolidated, it owns the distribution network and supplies the connectivity.
