- 1700mile 16-city fiber-optic network ready on time and on budget
- 120 Strand, 96 Terabit/s capacity pulsing through Germany's largest, most modern triple-ring structure
- $215 million investment in Ring: core of $380 million German infrastructure investment
Denver, July 28, 2000— Qwest Communications International Inc. (NYSE: Q), the broadband Internet communications company, today announced that KPNQwest, the leading pan-European Internet data communications company has lit its German network ring. The 1700 mile fiber-optic ring, which connects 16 cities, represents an investment of $215 million and connects into KPNQwest’s high-speed, high-capacity EuroRing network which will link 50 European business centers. KPNQwest is the first company to announce the lighting of a German ring of this size.
The lighting of the Ring, which involves the activation of optical equipment at key points along the fiber-optic network, marks a breakthrough in both the delivery of Internet Protocol (IP) based communications services in Germany and in the roll-out of KPNQwest's macro-capacity EuroRings network. KPNQwest will migrate its customers from existing leased lines onto its own network, enabling the company to deliver significantly larger amounts of data traffic at higher speeds with greater security and resilience, supported by service level agreements and quality of service guarantees unmatched in the data communications industry. KPNQwest's customers in Germany include Lufthansa, BASF, BMW and Hoechst, as well as premier German Internet company Strato. KPNQwest has also sold capacity on the network to leading German mobile operator, E-Plus, whose data traffic will be channeled at high-speed across Germany via KPNQwest's EuroRing.
In addition, the first 100,000 square foot CyberCenter™ will be ready for service in July 2000 in Munich. The German ring feeds high-speed, macro-capacity bandwidth into the CyberCenter, allowing the businesses whose applications are hosted there to transport data at the speed of light to their customers and end-users. As well as enabling the delivery of sophisticated and high quality content, it also opens the way for interactive Application Service Providers (ASP) solutions, such as the LiveLink collaborative software being offered by KPNQwest and Open Text in September 2000. It also opens the way for the entire suite of ecommerce applications being offered by IBM and KPNQwest as a result of their first quarter announcement to build 18 bandwidth-enabled CyberCenters across Europe. The combination of massive bandwidth and professionally managed server space will provide an unbeatable platform for accelerating the e-business revolution in Germany and beyond. A second KPNQwest CyberCenter&153; opens later this year in Frankfurt.
Announcing the lighting of the German Ring, KPNQwest CEO Jack McMaster said: "We have delivered this network for our customers on time and on budget. It means that almost half of the 50 cities that we serve are now connected by KPNQwest fiber. It also means that the grid is being laid for the next generation data communications services offered by our CyberCenters. KPNQwest's investments in the fiber optic network, hosting centers and Asynchronous Digital Subscriber Line (ADSL) indicates that KPNQwest is leading the way for the next generation Internet economy in the German market, driven by the demand for both bandwidth and for value-added Internet and hosting services. KPNQwest provides both and today's lighting of the German ring is great news for businesses across Germany who will have access to the speed, capacity, reliability and security of service that will give them the edge in the new economy."
KPNQwest services will bring a better, faster and more immediate Internet experience to German businesses by adding a third infrastructure pillar to its compelling mix of dense bandwidth and hosting efforts.. The deployment of high-speed broadband Internet access via ADSL services, the trial of which is under way in Dusseldorf.
The German Ring is constructed as three interconnected sub-rings, designed to provide uninterrupted service to customers by instantaneously re-routing data traffic in the opposite direction around the ring in the event of a disruption. The network is provisioned by G.652 and G.655 fiber and state-of-the-art electronics, including dense wave division multiplexing technology. DWDM allows the division of each fiber into up to 80 channels, each operating at speeds of 10 Gbit/s (by end 2000). With most of the cables consisting of 120 fiber strands, this means the German network is capable of generating capacity of up to 96 Terabit/s (96 trillion bits per second). In May this year, KPNQwest succeeded in achieving speeds of 40 Gbit/s per wavelength in field trials with Alcatel on a section of the German Ring.
The German Ring connects the following cities: Berlin, Bonn, Bremen, Dusseldorf, Frankfurt, Hanover, Hamburg, Karlsruhe, Kehl (for Strasbourg), Koln, Leipzig, Magdeburg, Mannheim, Munich, Nurnberg and Stuttgart in Germany. The full extent of KPNQwest's investment in the Internet infrastructure in Germany amounts to approximately $380 million, including the German Ring, the fiber routes from the ring to neighbouring borders and links to the Western, Nordic, Southern and Eastern Rings and the construction costs of the Munich and Frankfurt CyberCenters.
Qwest Communications International Inc. (NYSE: Q) is a leader in reliable, scalable and secure broadband Internet-based data, voice and image communications for businesses and consumers. The Qwest Macro Capacity® Fiber Network, designed with the newest optical networking equipment for speed and efficiency, spans more than 25,500 miles in North America. In addition, KPNQwest (Nasdaq: KQIP), Qwest's European joint venture with KPN, the Dutch telecommunications company, is building and will operate a high-capacity European fiber optic, Internet-based network that will span 12,400 miles when it is completed in 2001. For more information, please visit the Qwest web site at www.qwest.com.
KPNQwest (NASDAQ & ASE: KQIP) is a leading facilities-based, pan-European provider of data-centric services based on Internet Protocol (IP). It is deploying a technologically advanced 12,400mile fiber-optic network connecting 50 cities throughout Europe and provides a full portfolio of data-centric IP-based services and other advanced telecommunications services, including a pan-European Digital Subscriber Line service. KPNQwest is the one of the largest business ISPs in Europe with operations in 15 countries. KPNQwest has twelve CyberCenters™ and has announced plans to build a further eighteen 100,000 square foot CyberCenters across Europe on its high-capacity fiber-optic network to provide web-hosting, application sharing and telehousing services. Website: www.kpnqwest.com
This release may contain forward-looking statements that involve risks and uncertainties. These statements may differ materially from actual future events or results. Readers are referred to the documents filed by Qwest and KPNQwest with the SEC, specifically the most recent reports which identify important risk factors that could cause actual results to differ from those contained in the forward-looking statements, including potential fluctuations in quarterly results, dependence on new product development, rapid technological and market change, failure to maintain rights of way, financial risk management and future growth subject to risks, adverse changes in the regulatory or legislative environment. This release may include analysts' estimates and other information prepared by third parties, for which neither Qwest nor KPNQwest assumes any responsibility. Qwest and KPNQwest undertake no obligation to review or confirm analysts' expectations or estimates or to release publicly any revisions to any forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.
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