Rhythms Continues Successful Regulatory Litigation
Massachusetts DTE Decision Expands Broadband Services Provider's Market
Reach and Lowers Line-Sharing Operating Costs
ENGLEWOOD, Colo., Jan 11, 2001 /PRNewswire via COMTEX/ -- Rhythms NetConnections
Inc. (Nasdaq: RTHM) today announced support for portions of a line-sharing
arbitration reconsideration decision from the Massachusetts Department of
Telecommunications and Energy (DTE), allowing the company to serve more
customers with its digital subscriber line (DSL)-based, high-speed Internet
access services in Verizon Communication's Massachusetts territory.
The decision ensures Rhythms' right to use customers' existing voice lines to
provide data services, even in certain situations where the voice services are
provided by an entity other than Verizon. The decision also ensures Rhythms'
right to place its own line cards in upgraded Verizon remote terminals. These
two aspects of the decision improve Rhythms' abilities to reach more customers,
scale more rapidly and offer more robust high-speed access solutions. In
addition, the DTE denied Verizon's request to charge Rhythms for qualifying and
conditioning line-shared lines.
"The important parts of this decision continue a national trend of public
utilities commissions (PUCs) ruling in favor of competitive providers' abilities
to reach more customers with better DSL-based access services," said Jeffrey
Blumenfeld, Chief Legal Officer and General Counsel of Rhythms. "By ensuring our
ability to use customers' existing voice lines for data services and the right
to place our own cards in remote terminals, we can bring the benefits of the
most robust broadband service offerings to customers."
Rhythms, an international provider of broadband communication services, will
immediately benefit from the DTE's decision. Rhythms provides line- shared
services in each of the major incumbent local exchange carrier regions. Numerous
state public utilities commissions are presently considering costing and
operational issues regarding the implementation of line-shared services.
Rhythms also applauded a recommendation from an Illinois hearing examiner that
proposes a zero dollar charge for line-shared lines, loop qualification and SBC
Communications, Inc.'s back-office modifications that will assist in the more
rapid deployment of line-shared services in SBC's Illinois territory. The
recommendation also ensures Rhythms' right to place its own line cards in SBC's
"Project Pronto" remote terminals in Illinois.
Line sharing will enable consumers to order DSL-based services without having to
install a second line. Consumers will also enjoy the convenience of being able
to install the line-sharing equipment themselves, eliminating the need for a
professional installer to visit their home.
Rhythms' services include high-speed connectivity to the Internet and private
networks at speeds ranging from 128 kbps to 8.0 Mbps. Rhythms' customers include
Internet service providers, telecommunications carriers and broadband
communication services resellers.
About Rhythms
Rhythms NetConnections Inc. (Nasdaq: RTHM) provides DSL-based, broadband
communication services to businesses and consumers. Based in Englewood, Colo.,
Rhythms currently serves 60 markets, covering 97 MSAs. Telecommunications
services for Rhythms are provided by Rhythms Links Inc., a wholly owned
subsidiary of Rhythms. For more information, call 1-800-RHYTHMS
(1-800-749-8467), or visit the company's Web site at www.rhythms.com.
Rhythms, Rhythms NetConnections and (any product names for which trademark
applications have been filed) are trademarks of Rhythms NetConnections Inc.
Unauthorized reproduction, preparation of a derivative work, distribution,
public display or performance, storage in any information retrieval systems, or
transmission of this copyrighted work, in whole or in part, may subject the user
to civil liability and/or criminal penalties.
This news release may contain forward-looking statements that involve risks and
uncertainties. Actual results may differ materially because of various risks.
These risks include risks associated with the demand and competition for the
services and products to be sold by Rhythms, the continued availability of
adequate financing to support ouyses and reporting needs quickly, significantly
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