Zayo agreed to acquire Spread Networks for $127 million in cash.
Spread Networks is a privately-owned telecommunications provider that owns and operates a 825-mile, high-fiber count long-haul route connecting New York and Chicago. The company currently serves more than 60 customers. Of the 432 fibers available on the route, less than 25 percent are utilized today and the acquisition provides Zayo with overpull rights and additional conduit. The route connects 755 Secaucus Rd. in Secaucus, NJ and 1400 Federal Blvd. in Carteret, NJ to 350 Cermak Rd. in Chicago, IL, with additional connectivity enabled by Zayo’s existing network.
Zayo said the deal provides it with the lowest latency and most direct fiber route between New York and Chicago and additional physical path diversity. Zayo will use the acquired assets to provide a low-latency wavelength route from Seattle to New York.
“Spread constructed this route to provide the fastest possible speed on the shortest possible route,” said Jack Waters, CTO and president of Fiber Solutions at Zayo. “This asset is an outstanding complement to our existing network, providing customers with low-latency options to and from the country’s leading centers of finance and commerce. Given the relative simplicity of the business, this will be a straightforward integration with meaningful, near-term synergies.”
Spread Networks Cuts Chicago-New York Latency to 12.98 Milliseconds Roundtrip
Spread's Ultra Low Latency Chicago-New York Wavelength service promises operational round-trip latency between Chicago and New York below 14.1 milliseconds roundtrip when it becomes operational on October 12th. Spread said these latency improvements to the ULL Wavelength service follow up immediately upon its recent deployment of 100G technology on the same ULL Wavelength service.
