Globochem.

On Tue, Oct 6, 2026, 4:09 PM Ken Hohhof <[email protected]> wrote:

> MomCorp.
>
>
>
> *From:* AF <[email protected]> *On Behalf Of *Adam Moffett
> *Sent:* Tuesday, October 6, 2026 3:58 PM
> *To:* 'AnimalFarm Microwave Users Group' <[email protected]>
> *Subject:* Re: [AFMUG] PON and UPC
>
>
>
> There's definitely consolidation occurring.  I can't wait to find out who
> my new evil overlords will be.  Maybe Catbert's Fiber.
> ------------------------------
>
> *From:* AF <[email protected]> on behalf of Ken Hohhof <
> [email protected]>
> *Sent:* Tuesday, October 6, 2026 4:19 PM
> *To:* 'AnimalFarm Microwave Users Group' <[email protected]>
> *Subject:* Re: [AFMUG] PON and UPC
>
>
>
> No BEAD projects have actually been funded yet in Illinois, and we haven’t
> seen the latest map negotiated with NTIA.  The plan from a year ago
> definitely involved some really small companies stepping up to wire really
> big areas.
>
>
>
> But what got me thinking about all the money being borrowed was this:
>
>
> https://www.kirkland.com/news/press-release/2026/06/kirkland-advises-metro-communications-on-completion-of-second-securitization-issuance-at-459-million
>
>
>
> Metro Communications aka Conxxus is expanding like crazy in small Illinois
> towns (no government cheese), and they seem to be borrowing crazy amounts
> of money to do it.  In addition to the new builds, they have bought
> Clearwave and MTCO this year, and they seem to immediately turn around and
> use those assets as collateral for more loans.  So as long as FTTH is a
> can’t lose business proposition, that makes sense.  It does kind of remind
> me of the period when leveraged buyouts were common, someone described it
> to me as they would buy you with your own cash.
>
>
>
> I remember Frontier doing the same thing to fund their fiber buildout, but
> then they got bought by Verizon, apparently on the basis of their fiber
> network.  So that worked out for them.  I think at one point they did have
> to sell off some west coast fiber assets to pay the bills.
>
>
>
> *From:* AF <[email protected]> *On Behalf Of *Adam Moffett
> *Sent:* Tuesday, October 6, 2026 3:00 PM
> *To:* AnimalFarm Microwave Users Group <[email protected]>
> *Subject:* Re: [AFMUG] PON and UPC
>
>
>
> What I think you're getting at is if they had 25% of the money to expand
> their footprint tenfold, then they could have expanded it by 2.5x with
> their own money, and if they could have done that then they would have
> already been expanding.
>
>
>
> They could have investors who provided the cash for the sake of the BEAD
> application because a grant makes a return more likely.  Or maybe they had
> access to the money all along and just sat on it to see if they could get
> four times the value by adding government cheese into the mix.
>
>
>
> I never got involved in BEAD, so I couldn't speak to other possibilities,
> but Chuck seems to say the match could have been other assets besides
> cash.  I wonder how creative they allowed people get with that.
>
>
>
>
> ------------------------------
>
> *From:* AF <[email protected]> on behalf of Ken Hohhof <
> [email protected]>
> *Sent:* Tuesday, October 6, 2026 11:51 AM
> *To:* AnimalFarm Microwave Users Group <[email protected]>
> *Subject:* Re: [AFMUG] PON and UPC
>
>
>
> Talking about the match. I see BEAD projects that would expand the
> awardee's footprint more than 10x. No way they could fund even the 25%
> organically.
>
> Or are you saying the 25% match is an illusion because the 75% is actually
> 200%?
>
>
>
> On October 6, 2026 10:26:59 AM CDT, "[email protected]" <[email protected]>
> wrote:
>
> BEAD is a grant, not a loan.  Match is 25%.  And our award is like 2X the
> cost of construction.
>
> How do you default on a grant?
>
>
>
>
>
>
>
>
> ------------------------------
>
> *From:* AF <[email protected]> on behalf of Ken Hohhof <
> [email protected]>
> *Sent:* Tuesday, October 6, 2026 7:08 AM
> *To:* 'AnimalFarm Microwave Users Group' <[email protected]>
> *Subject:* Re: [AFMUG] PON and UPC
>
>
>
> I’ve noticed a lot of medium to large FTTH providers are very heavily
> leveraged, all their fiber assets are pledged as collateral to get loans to
> build more.  I would guess as BEAD rolls out, the copays are also borrowed
> money.  My gut tells me if revenue fails to meet projections there could be
> a lot of loan defaults.
>
>
>
> Which gets me to my question.  In the popular fiber architectures, what
> parts are generic and can easily be used by a new owner?  The glass itself
> would seem to be useful no matter what.  But what about ONTs, OLTs, and
> customer prem equipment like routers?  And other headend equipment like
> routers.
>
>
>
> What happens if a fiber equipment manufacturer like Calix goes though a
> bankruptcy or liquidation (thinking about the Cambium situation).  Is this
> stuff all proprietary, closed ecosystem?
>
>
>
> *From:* AF <[email protected]> *On Behalf Of *Adam Moffett
> *Sent:* Tuesday, October 6, 2026 7:55 AM
> *To:* AnimalFarm Microwave Users Group <[email protected]>
> *Subject:* Re: [AFMUG] PON and UPC
>
>
>
> I've made the same switch myself.  PON is definitely easier.  Everyone
> (including me) likes Ethernet when they're new at it because it seems more
> simple and familiar, but PON is easier to manage.  I'd keep Ethernet around
> for enterprise stuff, but bulk tier3 services are better off on PON.
>
> There was also a business case for Ethernet in a rural area where you
> might have small clusters of potential customers.  You could add a 24 port
> or 48 port Ethernet switch a lot more cheaply than adding an OLT, but in
> the past decade you could also use Ubiquiti's UFiber in that same
> scenario.  Or use XGS-PON where you can get long reach by adjusting min and
> differential range and minding your link budget.  In that case you can look
> at it as the cost of adding ports on a central system vs the cost of adding
> a new point-of-presence.
>
> In other words, I think the tech based argument for Ethernet was at least
> partially wrong from the start, and the most compelling business case for
> it has evaporated.
>
> I also see Ethernet in open access networks where they put each provider
> in a VLAN and each ISP is just providing a router and customer service. I
> won't go on that rant today, but that model seems incredibly dumb in my
> eyes.
>
>
>
> -Adam
>
>
>
>
>
>
>
> On Mon, Oct 5, 2026 at 5:22 PM Nate Burke <[email protected]> wrote:
>
> I don't have any PON in the field, only Active, but I'm curious why
> you're converting your active network to a PON network? Network
> Management?  Future Scalability with existing fiber? What's driving the
> switch.  I'm genuinely curious.
>
> On 10/5/2026 3:53 PM, Jason McKemie wrote:
> > I have an active optical network that I would like to convert to PON.
> > Unfortunately, the connectors at the cabinet are all UPC. Am I asking
> > for a headache if I connect those customers via an APC to UPC cable vs
> > re-splicing everything at the cabinet? The lengths from the cabinet to
> > the customer locations are all less than a mile. I'll be splicing on a
> > new APC connector at the customer locations.
> >
>
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