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Technology Stocks : Ascend Communications-News Only!!! (ASND) -- Ignore unavailable to you. Want to Upgrade?

To: Tim Roberts who wrote (1403)	4/25/1998 2:04:00 AM
From: Tech97	Read Replies (1) \| Respond to of 1629

Maverick Entrepreneur Bets on His Vision The Need for Turn-Key Business Solutions Seen Unmatched Network guru and co-founder of Savvis Communications Timothy Roberts left the company to start Digital Broadcast Network (DBN), a backbone connectivity provider targeting Fortune 1000 companies. DBN will focus on companies that need high-speed Internet access coupled with free value-added services like video conferencing, IP telephony and data storage/backup facility. Roberts tells Internet Week Savvis and DBN will focus on different segments of the business market, with Savvis concentrating on servicing its existing customers as a network, and DBN providing turn-key solutions to corporate customers as more of a full service company. DBN, which currently employs 12 people with plans to grow to 100 by the year's end, is based in St. Louis, Mo. Savvis' Comment Martin 'Sam' Sanderson, Savvis CEO, says the corporate market, where the company services clients like ARCO Petroleum and CD Now, will remain the "holy grail" of their targeted market. Savvis continues to grow through construction and acquisition, providing Internet connectivity, Web hosting and backbone transportation to its customers. Savvis will be announcing another acquisition enhancing its service bundle today. (IW will profile Savvis in the Feb. 2 issue.) DBN will differentiate itself from Savvis and other backbone providers by providing the service that is on the "bleeding edge" of technology. DBN intends to sell T1s, half T1s, OC3, OC12 and OC 48, enhanced with free services like video conferencing and IP telephony, to both large corporations and resellers (other ISPs). Although DBN's inception was announced last week, the company won't become operational until Feb. 1. The company has ambitious plans to run a national OC-48 backbone, based on leased capacity. It is currently negotiating with Williams Communications, Qwest Communications International Inc. and IXC Communications Inc. "With Williams back in the market, it's a great time to buy fiber," Roberts says. "Plus, we will never have any problems with capacity since we are ready to pay cash for it." Future Plans On the facility side, the company will build at least five data centers nationwide, each at one terabit. One of the vendors benefiting from this development would be Ascend Communications [ASND], which is one of the partners backing the venture. Other partners include Unicom Group, a public relations agency, Zoetics, a business strategy consultancy, and Danna/McNary law firm. DBN's plan is to make its service available in 25 cities, through 23 POPs it plans to deploy. Roberts says he already rounded up initial financing of $15 million- $30 million for the first stages of development. On the regulatory side, DBN is filing for the competitive local exchange and inter change carrier status this week in order to obtain access to local loop. Roberts says he hopes to have clients like McDonnell Douglas and Philips DVD, two companies with large and complex internal networks that can use a reliable back-up service which will be free on top of their Internet access. Another prime target of Roberts' is cable set top box manufacturers, for whom DBN can host sites and provide audio and video feeds, in a format resembling Web TV. He says the company has already found the way to send streaming video through 56K modems, if that's what the end users have. "I'm going to sit down with the companies and show them where they can save money if they go with DBN," he says. Savings should be a serious motivator for future DBN clients, since to get service from the company customers will have to upgrade some of their facilities, which can cost between $7,500 and $200,000 total. Roberts says there will be situations when DBN will consider splitting that bill with customers. Roberts plans to take DBN public in about two years. He will also seek to hire a CEO who'd have better experience in running a large company than Roberts does. (Timothy Roberts, DBN, 314/588-9400, Sam Sanderson, Savvis, 800/savvis1)