MCI WorldCom Delivers DSL Integrated Local Access Services For The Enterprise
-- Company Expands DSL Offering Beyond Internet for
High-Performance Data and Voice Networking --
MCI WorldCom Fund Takes Minority Equity Stake in Rhythms
Jackson, Miss., January 26, 1999 --
MCI WorldCom today announced that it will deliver nationwide DSL
(digital subscriber line) services beyond Internet for enterprise-wide
networking applications including frame relay, ATM (asynchronous
transfer mode) and voice. The new service will be commercially
available in the U.S. in second quarter 1999, enabling companies to
integrate local access on a single line for a wide range of networking
requirements. MCI WorldCom is also taking a $30 million minority stake
in remote networking company Rhythms, and its wholly owned subsidiary
ACI, a D-CLEC (data competitive local exchange carrier) specializing in
DSL for the business market.
MCI WorldCom will supplement its On-Net facilities-based strategy,
and extend DSL reach beyond its initial deployment, announced in
November 1998, through its investment and strategic alliance with
Englewood, Colorado-based Rhythms. The investment will be made through
the MCI WorldCom Fund, which invests in emerging companies, to expand
MCI WorldCom's reach and capabilities to create increased demand
for company services. Through its agreement, the companies will work
closely on several initiatives including network planning and
value-added applications for customers. In addition, MCI WorldCom will
become Rhythms' preferred network provider for backbone and
metropolitan network services.
"DSL technology is an ideal complement to MCI WorldCom's
On-Net facilities-based strategy, allowing us to extend our end-to-end
services to a broader range of customers," said Brian Brewer, MCI
WorldCom senior vice president of Product Marketing. "With DSL
from MCI WorldCom, small companies will be able to deploy DSL as a
cost-effective, high performance alternative to leased lines, and large
companies will be able to extend local bandwidth in remote locations
for broadband access to the MCI WorldCom On-Net product
suite."
"Rhythms' expertise in providing enterprise customers with
productivity enhancing services, combined with MCI WorldCom's
extensive On-Net portfolio will enable MCI WorldCom to quickly deliver
high performance service to the business market," said Catherine
Hapka, Rhythms president and CEO.
Businesses in major cities will be the first to benefit from MCI
WorldCom's expanded DSL offering. Customers will be able to choose
from a variety of DSL technologies to meet their specific requirements
and take advantage of access speeds ranging from 128 Kbps to 7 Mbps,
depending on customers' locations and particular applications. MCI
WorldCom's DSL access service will initially support virtual data
services and later this year will be extended to include voice
services.
MCI WorldCom's On-Net provides business customers with
local-to-global-to-local connectivity for voice and data services.
Introduced late last year, On-Net allows business customers to combine
voice and data traffic from local U.S. and international locations onto
one seamless, end-to-end network. On-Net eliminates the hassle and cost
of interconnecting with multiple phone companies for local, long
distance and international communications services. MCI WorldCom On-Net
customers are able to utilize a single access method for all of their
voice, data and Internet services empowering business with
unprecedented flexibility, network accessibility and significant
savings. MCI WorldCom DSL access will compliment existing access
methods currently offered with the On-Net product suite.
MCI WorldCom is a global communications company with revenue of more
than $30 billion and established operations in over 65 countries
encompassing the Americas, Europe and the Asia-Pacific regions. MCI
WorldCom is a premier provider of facilities-based and fully integrated
local, long distance, international and Internet services. MCI
WorldCom's global networks, including its state-of-the-art
pan-European network and transoceanic cable systems, provide end-to-end
high-capacity connectivity to more than 38,000 buildings worldwide. For
more information on MCI WorldCom, visit the World Wide Web at
www.mciworldcom.com
.
