TDS bumps up 2024 fiber passings target to 200,000

TDS bumps up 2023 fiber passings target to 200,000

Located in Madison, Wisconsin, TDS Telecom is an American telecommunications corporation. It is the seventh-largest local exchange provider in the United States and a fully owned subsidiary of Telephone and Data Systems Inc.

Over 900 rural and suburban communities, as well as urban metropolitan areas, are served by TDS Telecom, which provides telephone, broadband Internet, and television services to customers in thirty states.

TDS Telecom has revealed a remarkable rise in its year-end goal for new fiber passings. The company’s new goal is to achieve 200,000 by the end of the year, up from its original goal of 175,000.

This choice was made in response to TDS’s third-quarter fiber performance, which was “better than expected.”

TDS Telecom reached 61,000 fiber-connected locations in the past quarter, bringing its year-to-date total to 127,000. The figures add to the remarkable total fiber passings count of 709,000.

Michelle Brukwicki, Chief Financial Officer of TDS Telecom, is optimistic about the company’s future goals. By the end of 2023, TDS intends to introduce fiber in each of its expanding markets, according to Brukwicki.

These markets primarily consist of areas in the Pacific Northwest and Wisconsin, the home state of TDS.

Montana (Missoula, Butte, Helena, and Great Falls), Idaho (Twin Falls and Caldwell), and Wisconsin (Fond du Lac and Sheboygan) are notable recent additions to the list of expanding markets.

TDS has chosen to take part in the Federal Communications Commission’s Enhanced Alternative Connect America Model (A-CAM) in 24 states to improve further the services it offers. 270,000 underserved places within the ILEC footprint are to receive 100/20 Mbps speeds, according to the business.

TDS will get $90 million in Enhanced-ACAM support annually in exchange for its efforts; this is an increase from the $82 million previously provided annually under the current A-CAM program.

Over the following 15 years, the revenue support is anticipated to reach almost $1.3 billion.

TDS Telecom recognizes the increasing competitive pressures in its incumbent territory even as it celebrates its fiber accomplishments.

Michelle Brukwicki stated, “We consider capital prioritization and expected economic returns as we respond to competition in select ILEC markets with fiber builds,”

“The E-ACAM program will provide funding to help us defend these markets.”

TDS intends to “slow [its] spending and focus on driving broadband penetration and revenues in our new fiber markets,” according to Brukwicki, for 2024. This suggests the business will lower its new passing target for that year.

She stated, “Service addresses in 2024 will likely be closer to what we delivered in 2022,” which indicates TDS 133,000 new fiber passes in the previous year.

TDS reported a flat operating revenue of $256 million yearly in terms of financial performance.

On the other hand, residential revenue increased by 4% to $177 million. The expansion of wireline services is responsible for this rise, which brought in $20 million.

TDS Telecom’s ambitious plans for fiber expansion show how dedicated it is to offering high-speed internet services to underprivileged populations.

About the author

Nancy Beverly

Nancy Beverly is a prominent political journalist and editor at World-Wire, known for her sharp analysis and deep understanding of global politics. With a Master's degree in Political Science, she excels in breaking down complex political issues, making them relatable to the public. At World-Wire, Nancy crafts compelling political narratives covering everything from local governance to international relations. Recognized for her expertise, she received the 'Excellence in Political Journalism' award in 2021. Nancy's work not only informs but also enriches her readers' understanding of political dynamics.

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