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Birch Communications

From Alfawiki
Adapted from the English Wikipedia article Birch Communications, available under CC BY-SA 4.0Updated 25 July 2025
Birch Communications
Company typePrivate
IndustryTelecommunications
Founded1996
FounderThomas Wright and associates
FateAcquired by Fusion Connect in 2018
Headquarters
Atlanta, Georgia
,
United States
Area served
United States, Canada, Puerto Rico
Key people
Tony Tomae (President and CEO)
ProductsIP communications, broadband, cloud computing, IT solutions
Number of employees
1,400 (2014)

Birch Communications operated as a US-based provider delivering IP communications, broadband, cloud computing, and IT solutions tailored for businesses ranging from small enterprises to large corporations across the United States, Canada, and Puerto Rico. The company was founded in 1996 in the wake of the Telecommunications Act and expanded its network capabilities and service offerings through a series of acquisitions. To fuel its growth strategies, Birch secured $77.5 million in financing in 2011, followed by an additional $110 million in 2012.

By 2013, Birch had generated revenues near $207 million and earned recognition as one of Atlanta’s Top 50 Private Companies. The strategic acquisition of Cbeyond in 2014 for $323 million notably strengthened its cloud service portfolio. As of September 2014, Birch had completed 24 acquisitions with a combined investment exceeding $500 million. The company maintained regional offices in Atlanta and Macon, Georgia, as well as Emporia, Kansas, employing roughly 1,400 personnel. Tony Tomae held the role of president and CEO until Birch was acquired by Fusion Connect in 2018 and subsequently integrated into Fusion’s operations.

Establishment as Access Integrated Networks (1996–1999)

Originally founded in 1996 under the name Access Integrated Networks by Thomas Wright and his associates, the company was headquartered initially in Macon, Georgia. Leveraging opportunities created by the Telecommunications Act, the firm concentrated on reselling telecommunications services to small- and medium-sized businesses that were often underserved. Unlike many competitive local exchange carriers (CLECs) that depended heavily on venture capital funding, Birch employed a unique financing approach devised by its founders. By 1997, the customer base had expanded to around 100 clients.

Initial acquisition phase (2000–2007)

"Similar to numerous emerging telecom competitors following the FCC's transformative 1996 Telecommunications Act, Oddo and his partners launched Access Integrated Networks; however, unlike other CLECs, they did not rely on venture capitalists seeking rapid returns."
— Fierce Telecom November 2011

In 2001, the founders financed acquisitions using their own capital alongside company earnings. By 2002, Access Integrated Networks was active across nine states and reported annual revenues of $40 million. In 2003, Oddo took over as president and CEO after serving in senior roles at Graphic Scanning, NuVox Communications, and Network Telephone. That year marked a strategic pivot toward expanding the company’s IP network footprint through targeted acquisitions.

November 2005 saw Access acquire customer accounts from Cinergy Communications based in Kentucky. The following year in November 2006, it purchased approximately 43,000 local access lines from Delaware’s Trinsic Communications and also took over Sprint Local assets. Revenue climbed to roughly $70 million by 2006. In April 2007, Access further extended its reach by acquiring residential and SMB customers for both local and long-distance services from IDT Telecom operating in Florida and Georgia. By late 2007, the company served nine southeastern states with a workforce of about 215 employees. Around three-quarters of its operations involved reselling services from providers such as AT&T, while the remaining quarter utilized its proprietary network infrastructure. Although headquartered in Atlanta, Access maintained operational facilities in Macon, Georgia.

Merger and expansion (2007–2010)

Starting in November 2007, Access Integrated Networks initiated the acquisition of Birch Telecom. Headquartered in Kansas City, Birch had endured two bankruptcy events but continued to offer voice and internet services across 26 states. The acquisition was finalized in February 2008 for an undisclosed amount, resulting in combined revenues of $200 million, with a workforce of 400 employees and 300,000 voice and data lines under management. Vincent Oddo retained his role as president and CEO. On July 1, 2008, the merged company was rebranded as Birch Communications, maintaining its headquarters in Atlanta while continuing operations in Kansas City, Emporia, Macon, and Atlanta.

In late 2008, Birch expanded its footprint by acquiring approximately 30,000 business access lines from Navigator Telecommunications, based in North Little Rock. This move extended Birch’s market presence into California and Arkansas, increasing its operational reach to 31 states with around 325,000 access lines. The August 2009 purchase of Cleartel Communications added roughly 100,000 business and residential locations along with facilities in Florida. In October 2010, Birch further grew by acquiring assets from Freedom Communications USA. By the end of 2010, additional acquisitions included assets from American Fiber Network and CloseCall America, contributing an extra 60,000 access lines and broadening Birch’s operations to cover 38 states.

Growth intro Florida, new funding (2011–2012)

In April 2011, Birch acquired assets from Acutel, a Dallas-based firm. By June 2011, Birch had completed a $77.5 million funding round, allocating a portion of these funds to support ongoing acquisitions. A company spokesperson emphasized their capability to onboard new customers efficiently without increasing operational expenses. In October 2011, Birch expanded its Orlando-area footprint by acquiring Cordia Communications for $8 million, adding 56,000 business and residential access lines; this acquisition was partially financed through the recent funding round. By November 2011, all but two of Birch’s twelve acquisitions since 2001 had been financed through company profits and partner bank accounts.

By January 2012, Birch was delivering IP-based communication services across 38 states. While initially concentrating on local telephone and long-distance offerings, the company diversified into communications and IT services via its private IP network. Since its founding in 1997 with roughly 100 customers, Birch had grown to serve about 100,000 clients primarily through acquisitions. The company further strengthened its presence in Florida by acquiring AstroTel’s operating assets in April 2012; this included an IP network covering Tampa Bay and marked Birch’s fourteenth acquisition since 2006. In May 2012, Birch added dpiTeleconnect’s assets to its portfolio. In June 2012, CIT Vendor Finance provided a $7.5 million equipment financing arrangement to Birch. The following month saw Birch secure $110 million in cash after arranging a new $90 million financing facility with investors. In October 2012, Birch acquired DayStar Communications based in Port Charlotte, Florida, enhancing its small and medium business customer base throughout southwest Florida and the southeastern United States.

Covista acquisition (2013)

Birch Carrier Solutions—Birch’s wholesale division—experienced significant growth in 2013 by gaining clients such as Belgacom and Primus Telecommunications. In February of that year, CoBank committed approximately $12 million to Birch’s Senior Secured Credit Facility Syndication Group. Continuing its strategy of “tuck-in” acquisitions designed to increase customer density near existing markets, Birch acquired Covista Communications headquartered in Chattanooga during March 2013. Covista was a facilities-based provider serving customers across 48 states with major switching centers located in Tennessee and New York. This acquisition expanded Birch’s network coverage to include 45 states.

In May 2013, Birch purchased Lightyear Network Solutions based in Louisville for $22 million, extending its IP-Network service into eleven states. By August that year, the acquisition of Norcross-based Ernest Communications—a key wholesale customer—enabled Birch to operate across all fifty U.S. states as well as Puerto Rico and Canada. In November 2013, through its Tempo Communications unit, Birch introduced prepaid wireless services; prior offerings had been limited to prepaid home phones. At this point, the company managed approximately half a million access lines nationwide. For the year 2013, Birch reported revenues near $207 million and earned recognition as one of Atlanta’s Top 50 Private Companies based on total revenue.

Cbeyond acquisition (2014)

In June 2014, Birch broadened its footprint in Denver by purchasing Liberty-Bell Telecom, a subsidiary of DishNet, followed shortly by acquiring EveryCall, a company based in Louisiana. The following month, Birch completed the acquisition of Atlanta-based Cbeyond for $323 million, which led to Cbeyond being removed from the NASDAQ stock exchange and fully integrated into Birch’s operations. This strategic move expanded Birch’s service offerings and strengthened its capabilities in cloud solutions. Additionally, in July 2014, Birch acquired Selectel Communications from Nebraska, marking its 20th acquisition since 2006.

By September 2014, Birch had finalized 24 acquisitions with a combined value exceeding $500 million. In November of the same year, Birch took legal action against a DMCA subpoena issued by Rightscorp, declining to provide customer information and criticizing the subpoena as excessively broad. By December 2014, the company had grown to a workforce of 1,400 employees and inaugurated a new sales office located in Detroit.

Recent developments (2015–2017)

At the start of 2015, Birch expanded its office in Emporia, Kansas and initiated fiber network growth projects in Houston, Los Angeles, and Washington, D.C.. For the third consecutive year, BenchmarkPortal awarded Birch its Center of Excellence distinction for outstanding customer service. By April, Birch was extending its Metro-Fiber network across Dallas, Houston, Denver, and Los Angeles, servicing approximately 686 buildings nationwide and around 20,000 businesses with ethernet and voice solutions.

In May 2015, a federal court ruled that Birch was not obligated to release customer data in response to a Rightscorp subpoena concerning copyright infringement allegations. That same month, Birch acquired the telecommunications division of 5Linx and subsequently purchased customer assets from OrbitCom, Inc., a provider specializing in voice and data services, in June. In August 2015, Inc. Magazine recognized Birch as one of America’s Fastest-Growing Private Companies, ranking it No. 2,563 with a three-year growth rate of 143%, marking its sixth time on this prestigious list.

In January 2016, Birch expanded into Canada through the acquisition of Primus Telecommunications Canada headquartered in Toronto, adding roughly 200,000 residential clients and 23,000 business customers throughout Canada along with residential subscribers in the U.S. and Puerto Rico.

Acquisition by Fusion

On May 7, 2018, Fusion Connect Inc. finalized the purchase of Birch Communications Holdings, Inc. The transaction was valued at approximately $600 million and involved about 50 million shares of Fusion common stock along with refinancing $444 million of Birch’s outstanding debt. Together, the merged entity controls an extensive fiber optic network spanning nearly 31,000 route miles.

Fusion filed for Chapter 11 bankruptcy protection on June 15, 2019 but successfully emerged from bankruptcy on January 14, 2020 after completing financial restructuring efforts.

Products and services

Birch Communications serves both residential consumers and business clients by providing local and long-distance voice services, broadband internet access including DSL and fiber options, T1 lines, PRI circuits, bonded T1 connections, mobile voice and data plans, email hosting, voicemail solutions, and prepaid phone services throughout the U.S., Canada, and Puerto Rico. Its product lineup features business-grade internet under the BirchLink brand. Notable service offerings include BirchCloud—which includes TotalCloud PBX, a cloud-hosted phone system—alongside BirchVoice, BirchNetwork, BirchMobile, and BirchIT Services. Through its BYOD initiative, customers can utilize SIP-compliant handsets with TotalCloud PBX. Voice and data services are primarily delivered via VoIP over Birch’s proprietary IP network rather than relying on public internet infrastructure.

Facilities and personnel

By 2016, Birch had established regional offices in Atlanta and Macon, Georgia, as well as Emporia, Kansas. The company operated six primary data centers across the United States and provided connectivity to 400,000 buildings equipped with fiber optics through an extensive network consisting of 31,000 miles of fiber routes. Around 2014, Birch employed nearly 1,400 individuals, with approximately 450 staff members stationed at the Atlanta Operations Center by 2016.

Community engagement

Birch has actively participated in charitable efforts, including contributions to Kids Yule Love in 2011, serving as a co-sponsor for the International Cherry Blossom Festival in 2013, and supporting Atlanta’s Woodruff Arts Center in 2014. In 2015, the company contributed resources such as funding, technology, and advisory services to assist Macon Charter Academy during its formative phase. In 2016, Birch donated computers and laptops to the Metro Atlanta Task Force for the Homeless to aid their employment training initiatives.

Acquisition history

Significant acquisitions made by Birch Communications include:

See also

External links