ENRON ANNOUNCES FIRST COMMODITY BANDWIDTH TRADE
Enron Communications began commodity bandwidth trading for capacity along a New York to Los Angeles benchmark route.  The trading reflects a monthly incremental contract for DS-3 bandwidth between New York and Los Angeles.  Global Crossing is the seller.  Commodity trading along an Atlantic route between New York and London is expected to begin in May 2000.  Enron likens the bandwidth futures trading to forward pricing contracts to oil or natural gas contracts. http://www.enron.net/
Enron Communications, December 2, 1999

Enron's bandwidth commodity trading uses a Pooling Point Operations model in which Enron provides a third party service responsible for scheduling bandwidth connections, monitoring the quality of service (QoS) of each transaction, issuing code numbers for access to web sites and maintaining the physical security and operational integrity of the transactions. A switching and interconnection facility will be establised in selected physical locations through which connections between bandwidth buyers and sellers would be established and monitored.  http://www.enrononline.com

Enron is building is own high-capacity fiber network across the US as "Pure IP broadband overlay to the Internet."  The network uses an IP/DWDM architecture and an InterAgent control layer software that provides event messaging, a reservation system, metering/billing, QoS control and directory services for distributed applications.  The company plans to extend its reach to Europe, Japan, Asia and South America with metropolitan POPs and local ePowered distribution partners.

EQUINIX CLOSES $280 MILLION IN FUNDING FOR INTERNET BUSINESS EXCHANGES
Equinix, a start-up developing highly secure Internet Business Exchanges for eCommerce, closed $280 million in financing from Cisco Systems, Microsoft, America Online, Dell, E*TRADE, Enron, Reuters, Morgan Stanley Dean Witter , Goldman Sachs and a host of other preeminent communications, e-commerce, content provider, hardware and software companies.  The Equinix concept is to allow ISPs, content providers and component service providers to interconnect at network-neutral exchanges that are optimized for e-commerce.  An Equinix exchange would provide interconnection to multiple ISPs and carriers. It would also offer financial-grade security.  The first Equinix facility opened in July 1999 in the Washington, D.C. area.  http://www.equinix.com/
Equinix, December 2, 1999

Last month, Equinix announced a $1.2 billion rapid expansion plan under which Bechtel Corporation will build or expand more than 30 Internet Business Exchange (IBX) facilities around the world over the next four years. 

US WEST AGREES TO LINE SHARING WITH DSL PROVIDERS IN MINNESOTA
The Minnesota Public Utilities Commission approved a negotiated agreement between US West, NorthPoint, Rhythms NetConnections and other service providers for enabling DSL services over the same, shared local loop lines that currently carry PSTN voice services.  Competitive providers could begin offering their DSL services over shared lines in January 2000.  The agreement covers interim prices -- the competitors will pay $6.05 per month for shared loops, and U S WEST will charge its data subsidiaries at least that amount -- until the Commission determines what the real costs are.  Rhythms said this amount is significantly less than the $18.00 U S WEST is proposing and the $12.05 it is currently charging for unbundled loops.  Rhytms still hopes to convince the Minnesota Public Utilities Commission that the real cost- based price of shared local loops should be zero.
http://www.rhythms.net/
December 2, 1999

US OPTICS SELECTS HITACHI'S DWDM AND OC-192
US Optics, an affiliate of Backbone Communications Inc., will deploy Hitachi's OC-192 and DWDM equipment in networks serving the San Francisco Bay Area and the Los Angeles region.  The initial deployments will be four-fiber bi-directional line-switched rings (BLSR). The contract was valued at $100 million over a three-year period.  Hitachi's DWDM system offers transmission capacity of up to 320 Gbps per fiber using wavelengths in the C-band, with in-service upgrade capability to 640 Gbps using L-band wavelengths. A future in-service upgrade for the platform to 1.28 Tbps is planned.

Backbone Communications Inc. operates a nationwide ATM network using Ascend CBX 500 switches integrated with Juniper routers and Class 4 tandem telephony switches.  The equipment is collocated on the Williams network.  High speed Internet access is provided by a Tier-1 ISP.  http://www.bbcominc.com/   http://www.hitel.com/
Hitachi Telecom USA, December 2, 1999

CHORUM CLOSES $42 MILLION ROUND OF VENTURE FUNDING FOR ITS OPTICAL PRODUCTS
Chorum Technologies, a start-up developing a line of "optical slicers" for use in DWDM routers and other advanced optical systems, received $42 million in a round of venture financing led by Bowman Capital Management.  Chorum's Optical Slicers are "ultra dense" optical interleave filters for use in either long-haul or metro networks. Its DWDM router components, which will use the Optical Slicers, are being designed for passive optical multiplexing and demultiplexing systems that support hundreds of channels at data rates of 10 Gbps and higher. Chorum's line of Optical Switches will use liquid crystal technology for higher reliability and performance.  The company is also developing a line of optical processors to provide the signal conditioning needed for longer transmission distances. Chorum is already delivering products to optical systems manufacturers, and noted demand well in excess of its initial projections.  Scott Grout, Chorum's CEO, previously served as vice president of Lucent's optical networking group.  Other investors in the firm include J. & W. Seligman Co., Amerindo Investment Advisors, CenterPoint Ventures, InterWest Partners, Sevin Rosen Funds, Austin Ventures and Sycamore Ventures.  Chorum is based in Richardson, Texas.  http://www.chorumtech.com/
Chorum Technologies, December 2, 1999

OSICOM SPINS OUT OPTICAL NETWORKING BUSINESS UNIT INTO SORRENTO NETWORKS
Osicom Technologies will spin-off its optical networking business unit into a separate company, Sorrento Networks, in anticipation of an initial public offering for the group.  The division is based in the northern San Diego high technology corridor known as Sorrento Valley.  Q3 revenues for Sorrento Networks were $4.1 million, up 32% from this fiscal year's second quarter revenue of $3.1 million. Osicom's overall Q3 revenues were $18.9 million, up 34% from $14.1 million for the prior fiscal year's third quarter.  http://www.osicom.com/osicom/
Osicom, December 2, 1999  

MARCONI SECURES SDH CONTRACT SUPPORTING MALAYSIA'S VISION 2020
Marconi Communications was awarded a GBP38 million (US$61 million) contract to supply its STM1, 4, and 16 SDH multiplexers and cross-connects to Telekom Malaysia.  The network is a key part of Telekom Malaysia's support for the Malaysian government's Vision 2020 programme, which aims to make the nation a world center for cyber lifestyle and business models.  Marconi has operated a manufacturing plant in Malaysia since 1985.  http://www.marconicomms.com/
Marconi Communications, December 2, 1999

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