To: Michael F. Donadio who wrote (21079 ) 2/20/2001 5:36:15 AM From: Jon Taulbee Respond to of 21342 TeleChoice Announces North American DSL Market Nears 3 Million Lines at Year End 2000 BOSTON--(BUSINESS WIRE)--Feb. 13, 2001--DSL lines in service in North America totaled 2,861,045 at the end of fourth quarter 2000, according to new statistics published by TeleChoice, Inc. The U.S. had 2,429,189 DSL lines in service at quarter's end. U.S. ILECs account for 78% of the total, followed by CLECs with 21% and IXCs with about 1%. The IXC deployment figures include only facilities-based deployments and not resold DSL lines. They also do not include Sprint, which counts as an ILEC because for now most of its lines are sold through its local service subsidiaries. Canada had 431,856 DSL lines in service. To gather this data, TeleChoice interviews each DSL facilities-based service provider on a quarterly basis. For the U.S. market this represents over a 700,000 subscriber increase from the end of third quarter 2000. Led by SBC's 251,000 new subscribers and strong growth by Verizon and BellSouth, the ILECs increased their base by 46%. Despite some well-publicized woes, the CLECs still increased their installed base by 25%, resulting in an overall U.S. market increase of 41% for the quarter. In Canada, the installed base grew by over 150,000 subscribers, increasing 50% over the end of the third quarter. ``The big story this last quarter was the near total collapse of the CLEC market,'' says Adam Guglielmo, TeleChoice DSL Analyst. ``Yet the continued strong growth of the overall market shows an undeniable demand for DSL. We do not expect this to slow down.'' ``These next two quarters will really be about who is left standing,'' adds TeleChoice DSL Analyst Pat Hurley. ``There is still room for competition, but some of it may be coming from a different quarter than we originally thought. Value-added services like voice over DSL should finally start becoming a real factor by the end of this year.'' The complete set of statistics is available from TeleChoice's www.xdsl.com site, under the ``Deployment and Projections'' section in the left-hand column. For regular updates on the DSL industry, stay tuned to TeleChoice's www.xdsl.com. About TeleChoice TeleChoice, Inc. is the strategic catalyst for the telecom industry. TeleChoice helps telecom businesses crystallize their strategy and value proposition and accelerate their entry into new markets. Since it was founded in 1985, TeleChoice has developed winning business and marketing strategies for scores of successful public and startup companies. More information on TeleChoice is available at telechoice.com . -------------------------------------------------------------------------------- Contact: TeleChoice, Inc. Adam Guglielmo, 303/446-0001 aguglielmo@telechoice.com or Pat Hurley, 858/831-0396 phurley@telechoice.com