Broomfield, Colo. (ots-PRNewswire) - Agreement Gives Level 3 and
Viatel Additional Flexibility to Take Advantage of New Undersea Fiber
and Optics Technology as It Emerges.
Level 3 Communications, Inc. (Nasdaq: LVLT) today announced it has
signed an agreement with Viatel, Inc. (Nasdaq: VYTL) and that Viatel
will acquire a 25 percent ownership interest, valued at over $150
million, in a trans-Atlantic fiber-optic cable system now under
construction by Level 3.
This agreement gives both Level 3 and Viatel additional
flexibility to take advantage of new undersea fiber and optics
technology as it emerges. As a result of this agreement, both
companies will own and operate fibers on the trans-Atlantic cable.
Global Crossings Ltd. is also participating in the trans-Atlantic
cable system. The 1.28 terabit cable connecting Europe and the United
States is expected to be ready for operation by September 2000.
"This agreement underscores our commitment to enabling the
continuing evolution of a new global Internet economy that includes
fast, high-capacity connections between key markets in Europe and the
United States," said Colin Williams, executive vice president, global
systems and services for Level 3.
"Additionally, selling fiber on the trans-Atlantic cable to Viatel
enhances Level 3's ability to incorporate future undersea fiber
technology into its global broadband Internet protocol network," said
"Welcome to the new world of 'co-opetition,' where telecom
companies both compete and cooperate with each other," said Michael
J. Mahoney, Viatel's chairman and chief executive officer. "Teaming
with Level 3 expands our growing international fiber network and will
enable us to rapidly deploy additional capacity on the world's
busiest trans-oceanic communication route."
Viatel, Inc. is a rapidly growing provider of all distance(TM)
communications services -- local and long-distance, voice and data,
Web-centric and multimedia -- to end-users, ISPs, ASPs and other
carriers in Europe and North America.
The cable system's landing stations are located on Long Island in
the United States and on the West Coast of the United Kingdom.
Additionally, as part of the transaction, Viatel is acquiring added
trans-Atlantic capacity from Level 3 that will enable Viatel to offer
diversely routed services and further expand its network across the
About Level 3 Communications
Level 3 (Nasdaq: LVLT) is a communications and information
services company offering a wide selection of IP-based services
including broadband transport, colocation services, submarine
transmission services and the industry's first Softswitch* based
services. Level 3 offers services primarily to Web-centric companies
that deliver their services over the Level 3 Network. The Level 3
Network will include metropolitan networks in 56 U.S. markets and 21
international markets connected by an approximately 16,000 mile U.S.
intercity (long-distance) network, an approximately 4,750 mile
European intercity network and both transpacific and transatlantic
undersea cables. The U.S. and first two rings of the European
intercity network are expected to be substantially completed during
the fourth quarter of 2000. Level 3 currently offers Internet
infrastructure services in 27 U.S. cities and four European markets.
Its Web address is www.Level3.com
(* Softswitches are advanced software based switching systems,
which enable Level 3 to provide services combining the best features
of the Internet and traditional telephone networks.)
Forward Looking Statement
The statements made by Level 3 in this press release may be
forward looking in nature. Actual results may differ materially from
those projected in forward-looking statements. Level 3 believes that
its primary risk factors include, but are not limited to: substantial
capital requirements; development of effective internal processes and
systems; the ability to attract and retain high quality employees;
changes in the overall economy; technology; the number and size of
competitors in its markets; law and regulatory policy; and the mix of
products and services offered in its target markets. Additional
information concerning these and other potential important factors
can be found within Level 3's filings with the U.S. Securities and
Exchange Commission. Statements in this release should be evaluated
in light of these important factors.
ots Original Text Service: Level 3 Communications, Inc.
Josh Howell or Steve Ingish, (USA) 720-888-2517, or 720-888-2521, or
Investors, Julie Stangl, (USA) 720-888-2500,
all of Level 3 Communications, Inc.
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Web site: http://www.level3.com
Original-Content von: Level 3 Communications, übermittelt durch news aktuell