[Bell Atlantic and Metromedia Fiber Network Reach Landmark Agreement to Facilitate Fiber Distribution in Bell Atlantic Central Offices]
Agreement Will Provide CLEC Customers with Rapid and Cost-Effective Dark Fiber Connectivity Inside Bell Atlantic Central Offices
NEW YORK--(BUSINESS WIRE)--June 14, 1999-- Metromedia Fiber Network, Inc. (NASDAQ:MFNX) and Bell Atlantic (NYSE:BEL) have signed an unprecedented agreement that enables Metromedia Fiber Network (MFN) to implement dark fiber connectivity within all Bell Atlantic central offices.
This industry-first accord provides a fast, efficient way for competitive local exchange carriers (CLECs) to enter the local telecommunications market by allowing these CLECs to utilize MFN's fiber to connect directly to Bell Atlantic's network or another CLEC's network.
Under the agreement, Metromedia Fiber Network will install hundreds of 'dark fibers' in Bell Atlantic's equipment buildings (central offices or COs) but will not be required to locate the lines in a separate area known as a collocation cage or space. Dark fibers are fiber optic strands that provide virtually unlimited bandwidth for the transmission of data, video, voice and multi-media communications services.
This innovative arrangement, jointly developed by Metromedia Fiber Network and Bell Atlantic, is a first between a regional Bell company and a fiber provider. Never before has a non-incumbent local exchange carrier been able to deploy an inventory of fiber lines in an incumbent's CO without having to lease a collocation cage or space.
MFN will now be able to pull a single, high-capacity cable to a universally accessible distribution point within Bell Atlantic's portion of a central office and sell the lines directly and efficiently to CLECs and other carrier customers.
Bell Atlantic and Metromedia Fiber Network will conduct an initial trial of the service in five Bell Atlantic central offices in New York City. Upon successful completion of the trial, MFN plans to offer connections in more than 100 Bell Atlantic COs in New York, Philadelphia, Washington, D.C. and Boston as well as in key COs and tandem switching centers within the Boston to Washington, D.C. corridor. MFN also plans to eventually expand fiber optic infrastructure availability in other central offices in Bell Atlantic's region.
"We're extremely excited by this agreement with Bell Atlantic," said Howard Finkelstein, president of Metromedia Fiber Network. "It creates a framework that complements Metromedia Fiber Network's business strategy of becoming the infrastructure provider of choice for CLECs, DSL providers, ISPs and other carriers competing in the dynamic communications marketplace.
"The scope of the new opportunity is significant because of what it has created for carrier customers and because it creates a model for the creation of fiber connectivity to central offices throughout the country," added Finkelstein.
With Metromedia Fiber Network's high fiber count optical infrastructure available in key central offices, CLECs will gain immediate, unrestricted and unmetered bandwidth connectivity in these vital communications centers, further increasing time to market and cost advantages.
According to Jack Goldberg, president of Bell Atlantic's Telecom Industry Services, "the innovative service enables fiber providers to quickly and cost effectively compete with Bell Atlantic to provide connections between central offices known as interoffice transport facilities.
"Our negotiations with Metromedia Fiber Network have resulted in an original solution that can serve as the foundation for direct fiber connectivity in Bell Atlantic central offices," said Goldberg. "This will not only provide more options for CLECs entering the market, but it will further promote the development and availability of cutting-edge communications packages that combine voice, video and data services."
Finkelstein said: "Our thanks go to the FCC as well as the New York State Public Service Commission and Bell Atlantic for working with us to make this agreement possible. The creative framework to which Bell Atlantic and Metromedia Fiber Network agreed was the result of over one year of steady negotiations and indicates a true commitment to increasing the competitive landscape of communications in the region." |
