Trueline Infrastructure Shuts Down After Only Five Months

Not long ago, we were reporting on a new company formed by Grain Management called Trueline Infrastructure, a merging of some firms to form a fiber construction company ready to answer the demand for building and expanding fiber broadband infrastructure across the U.S.

In news that came as a shock to many of us, the new venture is shutting down after only about five months, with nearly all of the approximately 300 employees laid off.

What was Trueline?

Under the leadership of Grain Management, Atlantic Engineering Group, Fiber Optic Services and Young’s Communications joined to form Trueline.

“The expertise of the teams … are seamlessly integrated, providing Trueline with a robust foundation to enhance its service offerings and extend its reach across the nation. This unified approach will enable Trueline to transform communities and expand broadband connectivity throughout the United States,” said a press release from the time of the formation.

ISE covered the announcement back in September.

What happened?

Grain Management clearly saw an opportunity in the predicted expandion of fiber infrastructure, particularly with BEAD subsidies driving many new rural deployments.

But there were troubling signs, according to people in the company. For one, the CEO resigned not long before the layoffs were announced.

But there were other signs, too. A major contract was dropped, and one former employee was quoted in Fierce Telecom saying he had a full warehouse and staff ready to go but there was no work.  

Fallout

Some former employees have expressed concern and disappointment, particularly about the fact that these family-run businesses have met such a bitter end, and that so many were laid off without notice.

Darren Muljo, former Envirnmental Health, and Safety Manager with Trueline, expressed in a LinkedIn post serious disappointment with the way it was handled. In particular, he expressed symapthy for "those who trusted the formation of Trueline Infrastructure Solutions and the almost 300 victims and their families left picking up the pieces." 

What does this mean for the fiber broadband industry?

Fiber deployment is still predicted to accelerate, even if projects are taking longer than hoped to get off the ground. Sean Buckley covered Dyson's optimistic take on FTTH, AI, and data center growth:

“In several of our customers' most recent earnings calls, they reiterated their commitment to their fiber-to-the-home plans, and some mentioned opportunities for increased velocity of builds, while others again increased total expected passings ... We believe fiber to the home will continue to be a significant growth driver for our business in fiscal 2026.” -Daniel Peyovich, president and CEO, Dyson

"...fiber now passes 56.5% of U.S. households, writes Buckley, referring to a recent survey from the Fiber Broadband Association. "Fiber take rates increased slightly in 2024, growing to an average of over 45% based on unique passings. Service providers are achieving their first 20% take rate much faster and reaching higher take rates over time."