Looking Good: Qwest makes $15 mln investment in Rhythms
April 7, 1999 12:58 PM
NEW YORK, April 7 (Reuters) - Qwest Communications International Inc. QWST said Wednesday it gained high-speed data connections in 31 major metropolitan markets through a $15 million investment in Rhythms NetConnections Inc.
The agreement is part of Qwest's effort to gain direct, local connections for customers using its long distance communications network.
Rhythms will provide Qwest, the No. 4 U.S. long distance company, with local digital subscriber line (DSL) connections, which provide very high speed data transmission.
In recent weeks, Qwest has announced plans to offer high-speed local connections in more than 35 markets, reaching 50 percent of U.S. businesses.
By the end of 1999, Qwest plans to offer high-speed access to business customers in major markets including Austin, Texas; Chicago; Detroit; Los Angeles; New York City; Phoenix; Portland, Ore.; and San Jose, Calif.
In January Qwest reached a similar agreement with Covad Communications Group Inc. COVD to provide DSL services in 22 markets.
Aside from DSL connectivity, Qwest is also in the process of assembling 19 metropolitan area networks in major U.S. cities that will allow large businesses to directly connect to the Qwest network.
Shares of Qwest gained 2-5/16 to 84-1/2. (( Jessica Hall, New York newsroom 212-859-1729)) REUTERS |
