1. Qwest and AOL Time Warner Announce DSL, Network and Advertising Deal
2. Competisys Carries TV/Voice/IP over Home Gigabit Ethernet Connections 
3. ITXC Passes 2 Billion Paid Minutes Internet Telephony Milestone
4. iBasis Carries 337.6 million minutes of Internet Telephony in Q2, up 9% over Q1
5. MSN Internet Access Reaches 6.5 Million Subscriber Milestone
6. France Telecom Reports 177,000 ADSL Customers
7. Corvis Announces First International Contract with Telefónica
8. Storm Raises $35 Million for Continued Rollouts of Optically Switched Services
9. KPNQwest Turns Up Sycamore’s SN 10000 Ultra Long Haul Transport Platform
10. Sycamore Networks Adds Enhancements to SN 10000 Platform
11. 360networks Delisted from Nasdaq


QWEST AND AOL TIME WARNER ANNOUNCE DSL, NETWORK AND ADVERTISING DEAL
America Online agreed to purchase services including DSL lines, network transport and other network services from Qwest Communications, under a strategic allegiance that extends an existing wholesale network and DSL agreement signed in 1999.  In return, Qwest agreed to advertise on AOL Time Warner's media outlets.  Financial terms were not disclosed.  http://www.qwest.com/about/media/pressroom/1,1720,714_archive,00.html
Qwest, July 26, 2001

  • Earlier this month, AOL Time Warner selected Samsung Electronics to develop a next generation AOLTV set-top box featuring functionality from the TiVo service.  In return, Samsung agreed to an advertising campaign through AOL Time Warner’s media properties.

COMPETISYS CARRIES TV/VOICE/IP OVER HOME GIGABIT ETHERNET CONNECTIONS
Competisys Corporation, an integrated utilities company based in Irvine, California, activated its first multiservice network using Gigabit Ethernet connections to the home.  The new housing development located in the Northern California city of American Canyon uses a fiber-optic connection to the home to deliver IP phone service, cable TV, video-on-demand movies and high speed Internet access.  Pricing for a packaged service, which includes IP phone service with unlimited local toll calling, caller ID, and call waiting, premium television service and 1 Mbps Internet access, is $114.95.  Equipment suppliers for the network include World Wide Packets for the home Gigabit Ethernet connection, Extreme Networks for its Ethernet switches, Minerva Networks for its IP multicasting and video-on-demand content system, Nuera Communications for its VoIP gateway and Syndeo for its Class 5/Local Exchange softswitch and service platform.  http://www.competisys.com
Competisys, July 26, 2001

ITXC PASSES 2 BILLION PAID MINUTES INTERNET TELEPHONY MILESTONE
This past week ITXC routed its two billionth minute of paid voice traffic since launching its service in April of 1998.  The company said almost all of its traffic consists of phone-to-phone international calls, which it carries over the Internet.  Traffic from Tier 1 carriers represented 29.1% of ITXC traffic in Q2, compared with 3.6% of total traffic in the same period last year. 
http://www.itxc.com/indexA.tmpl?info=pressreleases/pr277.html
ITXC, July 26, 2001

  • In Q1, ITXC reported a significant decline in PC-to-phone calling, noting that many companies stopped offering it all together due to declines in advertising. The company refocused its efforts on paid Internet telephony phone-to-phone transport service. 

ITXC Internet Telephony Minutes

Quarter
Ending

Traffic in
minutes

Growth over previous quarter

2001 Q2

406 million

13%

2001 Q1

358 million

1%

2000 Q4

355 million

31%

2000 Q3

270 million

34%

2000 Q2

201 million

53%

2000 Q1

131 million

204%

1999 Q4

 43 million

 

 

IBASIS CARRIES 337.6 MILLION MINUTES OF INTERNET TELEPHONY IN Q2, UP 9% OVER Q1
Minutes of use for Internet telephony traffic over the iBasis network rose to 337.6 million minutes in Q2, a 182% increase over the 119.4 million minutes carried in the same period last year and a 9.2% sequential increase from Q1.  Revenue per minute increased from pro forma 8.90 cents per minute in Q1 2001 to 9.01 cents per minute in Q2 2001.  The company reported increasing traffic from Tier One carriers (now at 53%), which reduces collections risk.  iBasis also continued to increase the percentage of overseas-originated voice traffic it carries (33%), which improves network utilization and generally produces higher margins than US-originated voice traffic.  Q2 revenue was $34.3 million. Net loss before acquisition, non-cash compensation and restructuring charges for the second quarter 2001 was $21.7 million, or $0.49 per share.  http://www.ibasis.com/
iBasis, July 26, 2001

iBasis Internet Telephony Traffic Growth

Quarter
Ending

Traffic in
minutes

Growth over previous quarter

2001 Q2

337.6 million

16%

2001 Q1

309 million

36%

2000 Q4

227 million

35%

2000 Q3

168 million

41%

2000 Q2

119 million

40%

2000 Q1

85 million

33%

1999 Q4

64 million

 

MSN INTERNET ACCESS REACHES 6.5 MILLION SUBSCRIBER MILESTONE
Microsoft’s MSN service now reaches 6.5 million Internet access subscribers in the US.  Other major milestones for MSN include reaching 250 million unique users worldwide per month for its Web sites, and surpassing Yahoo! in advertising revenue for the first time.  http://www.microsoft.com/presspass/press/2001/Jul01/07-26GlobalLeaderPR.asp
Microsoft, July 26, 2001

FRANCE TELECOM REPORTS 177,000 ADSL CUSTOMERS
As of June 30, France Telecom was serving 177,000 ADSL customers (including Wanadoo ADSL customers), up from 68,000 at the end of last year.  Overall, the Wanadoo Internet access service had 5 million active customers at June 30, 2001, including 2.3 million in France and 2.0 million in the UK via Freeserve. http://www.francetelecom.com/vanglais/whats_in_the_news/home_f.html
France Telecom, July 26, 2001

CORVIS ANNOUNCES FIRST INTERNATIONAL CONTRACT WITH TELEFONICA
Corvis announced a preliminary agreement to supply its CorWave XF repeaterless link optical networking product to Telefónica for initial deployment along an undersea route linking the island of Mallorca with Telefónica’s backbone network in Spain.  Financial terms are still being finalized.  The CorWave XF product is capable of transmitting up to 800 Gbps per fiber for distances up to 350 km without the use of in-line amplifiers.  Eliminating in-line amplifiers in festoon, regional point-to-point and spur network applications cuts capital expenditures and operational costs.  http://www.corvis.com/news/release.cfm?num=141 
Corvis, July 26, 2001

  • Earlier this week, Juniper Networks announced that Telefónica Data had selected its M160 Internet backbone routers for its domestic IP network infrastructure and for connections into its international network nodes.
  • Telefónica operates in 48 countries, has 71 million customers and 130,000 employees.  The company’s largest telecommunications operations are in Spain, Argentina, Brazil, Chile and Peru.

STORM RAISES $35 MILLION FOR CONTINUED ROLLOUTS OF OPTICALLY SWITCHED SERVICES
Storm Telecommunications announced $35 million in additional financing commitments from investment affiliates of Soros Private Equity Partners, Merrill Lynch Ventures and others.  The company has announced $400 million in funding commitments to date.  http://www.stormtel.com
Storm Telecommunications, July 26, 2001

  • In June, Storm Telecommunications introduced its unmetered, “Lightning” optical access service over its new European backbone.  The service promises flexible, scalable access over an optical mesh of 16 routes linking London, Paris, Amsterdam, Munich, Frankfurt, Berlin, Hamburg, Düsseldorf, Stuttgart, Copenhagen, Oslo and Stockholm.  Pricing is based on flat-rate bandwidth increments, rather than distance or usage.
  • Storm Telecommunications has previously announced a long-term, US$100 million dark fiber lease with Telia, giving it access to substantial fiber across Scandinavia and the rest of Europe, and a US$13 million lease of fiber-optic infrastructure from Metromedia Fiber Network in key European cities.
  • Sycamore Networks supplies optical switching and transmission equipment to Storm under an agreement now valued at up to US$100 million.  Sycamore also provides lease financing to Storm.

KPNQWEST TURNS UP SYCAMORE’S SN 10000 ULTRA LONG HAUL TRANSPORT PLATFORM
KPNQwest turned up services on a key route in the company's Nordic ring with Sycamore's SN 10000 high-capacity transport platform.  KPNQwest will use the equipment to offer up to 160 OC-192/STM-64 wavelengths of fully-lit capacity across six Nordic cities, along with seamless connections to other points on the KPNQwest European network and Qwest’s North American network. 
http://www.sycamorenet.com/corporate/news/pressrelease.asp?command=live&news_item_id=541
Sycamore Networks, July 26, 2001

SYCAMORE NETWORKS ADDS ENHANCEMENTS TO SN 10000 PLATFORM
Sycamore Networks announced a number of enhancements for its ultra long haul transport platform, including a high-density OC-192/STM-64 service card with integrated Super Forward Error Correction (SuperFEC), a new automated wave management capability, and new flexible/unlimited all optical add/drop capabilities.  The new OC-192/STM-64 service card doubles the density of the previous design, enabling the SN 10000 to support 64 OC-192/STM-64 waves in a single bay.  http://www.sycamorenet.com/corporate/news/pressrelease.asp?command=live&news_item_id=542
Sycamore Networks, July 26, 2001

360NETWORKS DELISTED FROM NASDAQ
360networks will be de-listed from Nasdaq effective July 27th.  The last trading price was US $0.21.  360networks’ stock continues to trade on the Toronto Stock Exchange under the TSX trading symbol.  http://www.360.net 
360networks, July 26, 2001

  • Last month, 360networks filed for bankruptcy protection under Canada’s Creditors Arrangement Act and under Chapter 11 of the US Bankruptcy Code.  Its European subsidiaries will also initiate insolvency proceedings.

A Daily Journal For Broadband Networking
Copyright 2001 Converge! Media Ventures Inc.
All Rights Reserved. ISSN 1084-2438
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