WaveDivision Holdings buys Port Angeles-based Capacity Provisioning

By Jeremy Schwartz
Peninsula Daily News

PORT ANGELES — Capacity Provisioning Inc., a Port Angeles business that provides fiber-optic service to several public agencies and businesses in Clallam County, has been purchased by WaveDivision Holdings of Kirkland.

The terms of the deal were not disclosed.

“It’s a private transaction, so we’re not disclosing the financials,” said Mark Peterson, spokesman for the broadband services provider, the parent company of Wave Broadband.

The purchase of Capacity Provisioning Inc., also known as CPI, was effective immediately and was announced Wednesday.

The transaction will not impact CPI customers, with all services continuing without interruption, Peterson said, adding that Wave will retain all four CPI employees.

“The previous owners will stay on for a year or more to help ensure a smooth business transition,” Peterson said.

Craig Johnson, vice president of CPI, referred all comment on the purchase to Wave Broadband.

WaveDivision is a business-class fiber-optic and broadband services company with business and residential customers in Washington, Oregon and California.

Peterson said the Olympic Peninsula was one of Wave’s first markets when it began in 2003.

Since then, Wave has provided the Port Angeles and Sequim areas with residential broadband services and recently expanded to more markets on the Olympic Peninsula, including Port Townsend, Port Hadlock and Port Ludlow.

The Port Hadlock store at 10712 Rhody Drive, Suite 101, will celebrate a grand opening from 2 p.m. to 6 p.m. Friday, Wave Broadband reports on its website, www.wavebroadband.com. Food, refreshments and information on new services will be offered.

CPI is the largest privately owned fiber-based metro Ethernet provider on the Olympic Peninsula, focused on serving businesses and government entities in Port Angeles, Sequim and surrounding areas.

Port Angeles City Council members voted to extend an agreement with Wave/CPI in December to ensure continued service to the city through September 2024.

Lee Afflerbach, founder and principal engineer for Maryland-based Columbia Telecommunications Corps., had told council members then that extending the service agreement would save the city money and keep the city’s current rate with the service provider.

Afflerbach estimated that the city pays CPI roughly $15,000 on average per month for service.

“We believe it’s a very good deal for the city for long-term reliability and delivery of electronic communications,” city Public Works and Utilities Director Craig Fulton said Wednesday.

Initially signed in 2002, this agreement provided for the design and implementation of an interconnecting fiber-optic ring encircling Port Angeles to deliver high-speed fiber-optic point-to-point connections and Internet service to the city of Port Angeles and area businesses, Peterson explained.

Other CPI customers include Clallam County, Olympic Medical Center, the Port Angeles School District, Peninsula College and several other area organizations, Peterson said.

This is the 16th acquisition in Wave’s 11-year history and follows two similar fiber acquisition deals: Wave’s purchases of Bellingham-based Black Rock and Seattle-based Spectrum Networks (and its CondoInternet subsidiary), both completed in 2013.


Reporter Jeremy Schwartz can be reached at 360-452-2345, ext. 5074, or at jschwartz@peninsuladailynews.com.

Last modified: March 12. 2014 7:27PM
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