In a strategic move to enhance its broadband capabilities, T-Mobile has entered into a joint venture with global investment firm KKR to acquire Metronet, the fastest-growing pure-play fibre company in the United States. This acquisition is set to significantly expand T-Mobile’s fibre footprint, aligning with the company’s broader growth strategy.
Mike Sievert, CEO of T-Mobile, highlighted the strategic nature of the deal, stating, “This is a unique opportunity and a smart, capital-efficient deal that enables T-Mobile to profitably build on our success in broadband and provide fast, affordable, and reliable connectivity options to millions more customers nationwide.” The partnership aims to reach 6.5 million homes by the end of 2030, depending heavily on the joint venture’s performance and Metronet’s integration of its $7 billion project operations.
Metronet’s CEO, Dave Heimbach, expressed pride in expanding the partnership with KKR and forming a new one with T-Mobile, both leaders in 5G wireless connectivity and digital infrastructure. Under the agreement, Metronet will sell 100% of its residential fibre retail operations and customers, facilitating T-Mobile’s broader expansion into broadband services.
T-Mobile plans to leverage Metronet’s fibre-to-the-home infrastructure, enhancing its broadband service offerings. T-Mobile will oversee the marketing and selling of residential broadband services, utilizing its strengths in retail, market presence, and brand recognition. Meanwhile, Metronet will focus on network deployment, including build plans, engineering, and groundwork operations.
Currently, T-Mobile’s 5G Home Internet provides high-speed connections to over 500,000 households and businesses across the country using its 5G network. The new joint venture will complement this offering, catering to the growing consumer demand for higher speed and reliable broadband products.
The acquisition of Metronet is expected to close in 2025, pending customary closing conditions and regulatory approvals. As T-Mobile continues to expand its portfolio, this deal represents a significant step in meeting the increasing demands for advanced broadband services.
