Boundless Broadband, LLC and its affiliated entities Tilson Technology Management, Inc. (TTMI) and Tilson Middle Street Holding, LLC filed for Chapter 11 bankruptcy protection on May 29, 2025, in the United States Bankruptcy Court for the District of Delaware. The case, filed under docket number 25-10948 (BLS), represents one of the most significant telecommunications infrastructure bankruptcies of 2025, with debt between $100 million and $500 million according to Law360.

The Boundless Broadband bankruptcy filing follows a catastrophic contract dispute with Gigapower, LLC, a joint venture between AT&T and BlackRock. The termination of contracts worth approximately $600 million in backlog precipitated a liquidity crisis that forced the Portland, Maine-based telecommunications contractor into Chapter 11 proceedings. Richard Arrowsmith of Alastar Partners serves as Chief Restructuring Officer, having been appointed on May 16, 2025, shortly before the petition date.

Background and Corporate Structure

Founded in 1996, TTMI evolved from a technology training company into a leading digital infrastructure consulting, design-build, and maintenance firm specializing in fiber and wireless networks. The company's remarkable growth trajectory included fourteen consecutive years on the Inc. 5000 list of fastest-growing private companies, an achievement reached by less than 0.2% of listed companies.

The corporate structure consists of three entities: TTMI as the primary operating company, TMSH as a wholly-owned subsidiary formed in June 2017 to own the Portland headquarters, and Boundless as a subsidiary formed in 2024 to facilitate the potential sale of small retail broadband operations in Vermont. According to Mainebiz, the company employed 600 people nationwide with 67 based in Maine.

Veteran-Focused Employment Strategy

TTMI distinguished itself through systematic recruitment of military veterans, becoming a leading participant in the Department of Defense's Skillbridge program. This focus on veterans created a mission-based culture anchored by corporate values of Safety, Composure, Respect, Accountability, Professionalism, and Integrity (SCRAPI). The strategy enabled TTMI to maintain a competitive advantage in hiring technical talent even during periods of fierce competition for skilled workers.

The Gigapower Contract and Financial Deterioration

In 2022, Gigapower contracted with TTMI to design and build fiber networks in Las Vegas, Nevada, and Gilbert and Chandler, Arizona. The contracts represented approximately $600 million in contractual backlog, making Gigapower TTMI's largest customer. These projects ranked among the largest fiber optic deployment projects ever undertaken in such compressed timeframes.

The relationship deteriorated rapidly as Gigapower allegedly delayed payments and withheld funds without contractual basis. According to the first day declaration, TTMI invested approximately $109 million of net cash into the Gigapower projects, consuming all free cash flow from otherwise healthy business lines. The situation culminated with nearly $20 million in unpaid invoices, as reported by Broadband Breakfast.

Contract Termination and Immediate Impact

The situation reached a critical point in spring 2025. On March 28, 2025, Gigapower terminated for convenience all construction in Gilbert, Arizona not currently in progress. Subsequently, on April 29, 2025, Gigapower terminated nearly all remaining construction work in Chandler, Arizona, and Las Vegas, Nevada.

TTMI responded on May 5, 2025, by suspending work due to Gigapower's material breach. The company immediately furloughed and subsequently terminated its workforce in Arizona and Las Vegas. According to Bloomberg Law, the layoffs potentially affected up to 133 employees, triggering a WARN Act class action lawsuit for failure to provide required 60-day advance notice.

Debt Structure and Financial Position

The Boundless Broadband bankruptcy filing reveals debt estimated between $100 million and $500 million. According to Wireless Estimator, the top 30 unsecured creditors alone are owed almost $40 million. The prepetition debt consists of multiple components reflecting the company's growth financing strategy and operational challenges.

DIP Financing Arrangements

The debtors obtained court approval for a DIP Facility of up to $150 million, which includes up to $37.5 million in new-money availability under the revolving facility. The financing provides critical liquidity to maintain operations during the Chapter 11 proceedings.

Legal Actions and Breach of Contract Claims

On July 24, 2025, TTMI filed a breach-of-contract lawsuit against Gigapower seeking damages for unpaid invoices and contract-termination charges. The company's initial estimate of the termination charge alone across the three markets exceeds $115 million. CEO Darrell Ingram stated in the filing that the core business remains strong but needs to reset after one client's failure to manage its relationships and pay for work performed.

The company faces additional legal challenges including the WARN Act class action lawsuit filed by former employees seeking compensation for inadequate termination notice. The lawsuit was filed in the U.S. Bankruptcy Court for the District of Delaware by two former employees seeking class certification for affected workers.

Operational Restructuring and Future Prospects

Despite the Boundless Broadband bankruptcy filing, the company maintains significant operational assets and growth potential. TTMI operates through two key segments: Tilson Consulting, a high-growth advisory business with over 80 consultants experiencing 30% topline growth since 2021, and Design Build operations.

The company retains approximately $811 million in contractual backlog excluding terminated Gigapower volumes, with approximately $2.23 billion in sales pipeline. Historically, TTMI achieved approximately 40% conversion rates from pipeline to backlog, suggesting substantial revenue potential post-restructuring.

Long-Term Contract Portfolio

TTMI maintains approximately $500 million in long-dated backlog spanning 25 years for operations and maintenance of intelligent transportation systems and long-haul fiber networks across three states. Recent contract wins include a $125 million fiber-to-the-home design-build contract executed on May 21, 2025, with a national customer, and notification of selection for an additional $30 million maintenance award from a state department of transportation.

Industry Context and Market Implications

The Boundless Broadband bankruptcy reflects broader challenges in the telecommunications infrastructure sector. The case highlights risks inherent in large-scale fiber deployment projects, particularly when contractors face payment disputes with well-capitalized joint ventures. The involvement of Gigapower, backed by AT&T and BlackRock with a $1.5 billion investment commitment, underscores power imbalances that can emerge between infrastructure contractors and their clients.

Industry observers note this bankruptcy as part of a pattern of financial distress among telecommunications contractors during the current fiber buildout cycle. The case demonstrates how working capital requirements for massive infrastructure projects can overwhelm even successful, growing companies when payment terms deteriorate. Former CEO Joshua Broder had personally provided an additional $10 million of cash funding to TTMI through a subordinated note to provide a bridge to closing a private debt transaction before the Gigapower termination.

Reorganization Strategy and Stakeholder Impact

The Chapter 11 filing provides TTMI with a breathing spell to reset its business model post-separation from Gigapower while continuing to service significant customer opportunities. The company aims to re-establish strong relationships with vendors and customers disrupted by the liquidity crisis.

Creditor recoveries will depend significantly on the outcome of the Gigapower litigation and the company's ability to monetize its substantial backlog. The first day motions filed include requests for authority to maintain cash management systems, pay employee wages, compensate critical vendors, and establish utility payment procedures essential for operational continuity.

For comprehensive analysis of recent bankruptcy trends in the telecommunications and infrastructure sectors, visit ElevenFlo's bankruptcy blog. The Boundless Broadband bankruptcy case continues to develop, with significant litigation and operational restructuring milestones expected in the coming months.

Conclusion and Outlook

The Boundless Broadband bankruptcy represents a cautionary tale about concentration risk and the importance of balanced payment terms in large-scale infrastructure projects. While the company enters Chapter 11 with substantial operational challenges, its diversified service offerings, strong backlog, and potential recovery from Gigapower litigation provide paths toward successful reorganization. The case will likely influence how telecommunications contractors structure future mega-projects and manage counterparty risks in an evolving industry landscape.