Please forgive me for being so persistent on this one, but it seems to be highly relevant to our proposed acquisition of DataWave. If, after the merger, we are unable to access the new fiber optic cable system described below, are we sure we want to buy DataWave?
(Very long post) George E.
AT&T, MCI, Sprint, Others Invest in Americas II Cable System; New System to Link
U.S., Caribbean, South America
Business Wire - February 27, 1998 12:27
%ATT %AMERICAS-II-CABLE T %NEW-YORK %COMED %COMPUTERS
%ELECTRONICS %TELECOMMUNICATIONS V%BW P%BW
WILLEMSTAD, Curacao--(BUSINESS WIRE)--Feb. 27, 1998--An international
consortium consisting of AT&T, MCI, Sprint, EMBRATEL of Brazil, and over 30
other telecommunications carriers today signed a construction and maintenance
agreement to build a new fiber optic undersea cable system linking the United States
with the Caribbean and South America. The Americas II Cable System will span more
than 8,000 kilometers and cost an estimated $375 million. Tyco Submarine Systems
International Ltd., and Alcatel Submarine Network Systems will build the system,
which is expected to be completed and in service by September 1999. The collapsed
ring system will utilize synchronous digital hierarchy technology and consist of four pairs
of optical fiber cable. Each fiber pair will operate at 2.5 gigabits per second, per
wavelength, for a total of 40 gigabits per second, allowing the transmission of more
than 600,000 simultaneous calls. The new system is also ten times the capacity of the
prese!
nt Americas I system, which went into service in September 1994. Additional Data
and Internet capacity is needed in Latin America due to the astounding growth rates.
For example, the Internet has grown faster in Latin America than any other
communications medium or consumer electronic technology. Surveys of major Latin
American ISPs suggest over one million Latin Americans use the Internet, with the
number of Internet users for businesses and homes increasing by almost 100 percent
monthly. "Americas II is designed to accommodate the surging need for
state-of-the-art communications technology in the Americas Region well beyond the
start of the 21st century," said Thomas McInerney, managing director for AT&T's
international cable planning group. "The Latin American telecom market is valued at
$36 billion and is projected to grow to over $60 billion by the year 2000. The
Americas II cable will enhance MCI's support of our customers' telecommunications
needs in Latin America as da!
ta and internet traffic continue to grow at staggering rates," said Seth Blumenfeld,
President & COO, MCI International. "America's II will for the first time bring an
unprecedented level of flexibility of use and assignment for carriers," said Malcolm
Petty, assistant vice president of International Services Integration at Sprint. "This
system will favorably position Sprint for the free market telecom explosion envisioned
in this area for the year 2000 and beyond." The new system will consist of three rings,
a north ring, west ring and south ring. The north ring will start at the landing point in
Florida, then connect to the U.S. Virgin Islands. The south ring will connect the U.S.
Virgin Islands to Brazil, French Guyana (including direct connections to Suriname and
Guyana), Martinique, Trinidad, Venezuela, and Curacao. The west ring will connect
the U.S. Virgin Islands to Puerto Rico. A southwest system will directly connect
Venezuela and Curacao. This is the first time a si!
ngle cable will connect Guyana, Suriname and French Guyana. Other investors in the
cable system include ANTELECOM of the Netherlands, CANTV of Venezuela,
France Telecom, Telecom Italia, Telefonica de Espana, Telintar of Argentina, and
Trescom International of Fort Lauderdale, Florida. The memorandum of understanding
to build Americas II was signed in July, 1997. Construction of the system is expected
to begin shortly. AT&T Corp. is the world's premier communications and information
services company, serving more than 90 million customers, including consumers,
businesses and government. The company has annual revenues of more than $52
billion and 130,000 employees. Its runs the world's largest, most sophisticated
communications network and is the leading provider of long-distance and wireless
service. AT&T operates in more than 200 countries and territories around the world.
MCI, headquartered in Washington, D.C., is a leading provider of local-to-global
communication services !
to business, government and residential users. The company's fast-growing portfolio of
advanced data, Internet and IT services now accounts for nearly a quarter of MCI's
$19.7 billion in annual revenue. MCI operates one of the world's largest and most
advanced digital networks, connecting local markets in the U.S. to more than 280
countries and locations worldwide. MCI has agreed to merge with WorldCom, one of
the world's fastest-growing communications companies. The merger, which is expected
to be completed by mid-1998, will create MCI WorldCom, a company uniquely
positioned in the U.S. local and long distance markets as well as the global data and
Internet markets. Sprint is a global communications company -- at the forefront in
integrating long distance, local and wireless communications services and one of the
world's largest carriers of Internet traffic. Sprint built and operates the United States'
only nationwide all-digital, fiber optic network and is the leader in adva!
nced data communications services. Sprint has $14 billion in annual revenues and
serves more than 16 million business and residential customers.
CONTACT: Patricia Robinson, AT&T Jennifer Guild, MCI
908-221-8541 (Office) 914-934-6826 (Office)
888-602-5418 (Pager) 1-800-644-NEWS
pcrobinson@ |
