The last few years saw significant growth for altnets operating on a national, regional, and rural scale. The financial investment required to build out and maintain the physical infrastructure for high speed connectivity has been significant. This cost and the sheer number of providers has resulted in intense market competition that has driven prices down, meaning many altnets are waking up to the need to diversify their services to maximize their margins, or in some cases remain profitable at all.
As with any other technology service provider or channel funnel built on a challenger mentality, layering additional services is key to long term revenue generation. Offsetting the significant capital outlays many altnets have made feels like a ticking time bomb and only by upselling and layering additional, relevant services alongside their connectivity offerings can the fuse be snuffed out.
There's a rumbling argument that altnets should be leveraging the upcoming PSTN switch-off to not only deliver upsold voice services to residential customers but to capitalize on the countless businesses out there with existing ISDN based solutions that are primed for modernization. While there is a revenue opportunity in residential, there's a far greater margin opportunity with business customers that are already buying business-grade connectivity from their chosen altnet.
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