Rural ISP Acquisition Profits

A strategy of acquiring small internet service providers (ISPs) in rural areas where large providers don't operate. These companies serve customers who need internet access but have limited options in remote locations.

Key Points:

• Target Market:

  • Rural areas without major internet providers
  • Customers paying ~$100/month for internet service
  • Areas too remote for major providers like Spectrum, Google, or Warner

• Business Model:

  • Buy existing small broadband companies
  • Each company typically generates:
    • ~$10M in revenue
    • ~$5M in profit annually
  • Continue operating existing infrastructure and customer base

• Competitive Advantage:

  • Limited competition in rural markets
  • Established customer base
  • Existing infrastructure
  • High barriers to entry for new competitors

• Risk Mitigation:

  • Even with future competition (like Starlink), current profits provide good returns
  • Quote from transcript: "Yeah they'll come eventually but like until then I'm making $5,000,000 a year in profit"

• Investment Requirements:

  • Capital to acquire existing ISPs
  • Operational expertise in running internet service companies