GFiber (previously known as Google Fiber) has entered into an agreement with Stonepeak to combine the company with Astound Broadband into a single cohesive internet provider.
Google announced that GFiber’s merger with Astound Broadband will result in a new company owned in the majority by the digital investment firm, Stonepeak. Alphabet will be a “minority shareholder” while Stonepeak is set to be the majority owner of the new company.
It’s unclear whether the new company will retain the “GFiber” name, but Google assures that the new business will retain the existing GFiber executive team. The merger is said to be a move to bring GFiber’s growth and Astound’s groundwork together for future expansion. The company says its goal is to become a “national network platform.”
GFiber will now have the opportunity to provide better internet access to more communities across the country as they combine with Stonepeak’s Astound business, while continuing to provide their award winning customer experience.
This comes as GFiber recently announced a new base plan, upping the introductory speed of its fiber internet from 1GB to 3GB. It’s unclear if that plan will remain in place, as Astound Broadband doesn’t seem to offer competitive high-speed plans of that nature. The upgraded fiber service is localized to Des Moines, so it’s possible the expansion could change with this move.
Google’s announcement notes very little else about what the future of GFiber is. This merger is still in process, so we expect to hear more from the company soon.
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