Broadwing Wins $25M Deal With Gateway Networks
biz.yahoo.com
AUSTIN, Texas--(BUSINESS WIRE)--May 1, 2000--Broadwing Communications, a wholly owned subsidiary of Broadwing Inc. (NYSE:BRW - news), announced today that Gateway Networks, the first independent Multi-Service Carrier Network (MSCN) in North America, has purchased capacity on Broadwing's high-speed fiber optic network for $25 million.
This deal allows Gateway Networks to continue its roll out across North America as a `carrier's carrier' with Broadwing's wavelength technology providing data, voice and IP services over its coast-to-coast network spanning over 16,888 fiber miles. In addition, Broadwing will provide Gateway with collocation services at all of its points of presence (PoPs).
As part of its growth strategy, Gateway Networks was looking for a reliable U.S.-based carrier that could provide high-bandwidth wavelength network services throughout the U.S. at competitive prices.
``We selected Broadwing as our entry into the U.S. market based on the speed, reliability and scalability of its network and the excellent services we knew we could count on,'' said Jim Blumsom, president and CEO of Gateway Networks. ``Broadwing's unique architecture will allow us to gain access to U.S. markets that are critical to our growth.''
By utilizing state-of-the-art wavelength technology, which operates at a fast 2.5-gigabit rate, Broadwing will be able to quickly increase bandwidth capacity and speeds to meet customer needs.
In addition, Broadwing will gain capacity on Gateway's network in Canada to expand the sale of its products and services. The alliance, which follows a number of ``swap'' agreements signed by Broadwing recently, provides Broadwing with critical network connectivity throughout Canada.
``This is a win-win situation for all of us, most importantly our customers, who will have the benefit of high-quality voice services at a significant cost savings,'' said Rick Pontin, president and COO of Broadwing Communications.
About Gateway Telecom Canada
Gateway Telecom Canada is a leading Canadian telecommunications provider with a strategic focus on Gateway Networks, the company's wholesale telecommunications division. Gateway Networks is the first independent Multi-Service Carrier Network (MSCN) in North America and only communications company to offer multiple point-to-point bandwidth and dark fibre, Signaling System Seven (SS7), Internet wholesale, long distance in and between Canada and the United States. More information can be found at: www.gatewaynetworkscanada.com.
About Broadwing
Broadwing Communications is a wholly owned subsidiary of Broadwing Inc. Broadwing Inc. (NYSE:BRW - news) is an integrated communications powerhouse delivering voice, data and Internet solutions to a variety of customers nationwide. Broadwing combines unparalleled customer service with a premier next-generation fiber network and award-winning IP backbone, to create data and Internet solutions that are innovative, reliable, and provide businesses a competitive advantage. Broadwing sets the standard for customer accountability with its first-in-the-industry Installation Guarantee. Headquartered in Cincinnati, Ohio with 5,500 employees in 38 cities, Broadwing can be found on the Web at broadwing.com.
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Contact:
Broadwing Communications
Melissa Jackson, 512/742-5247
melissa.jackson@broadwing.com
or
Gateway Telecom Canada
Tim Kuntz 705/472-6300
tkuntz@gatewaytel.com
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