IDG News Service,
Buenos Aires Bureau
BUENOS AIRES –
04-26-2001
FiberTel SA, a
broadband cable modem ISP located in Buenos Aires, and the wholesale data
carrier Impsat Fiber Networks Inc. have just signed a long-term agreement for
high-speed access to the US Internet backbone, according to a press statement
released by both companies this week. The contract provides for 60 months of
service, at a total expense of US$7 million, according to the press release.
Impsat will provide an SMT1 (155M bps) connection to the US
backbone. The link will use the installed Impsat submarine cable that goes from
Buenos Aires to Miami. This access to the US backbone will result in a more
efficient Internet traffic routing, giving Fibertel Internet subscribers
practically the same navigation speed as if they were located in the US.
Through this agreement, FiberTel becomes the first Argentine
ISP to be served by an exclusive broadband STM1 international connection. Ariel Garbaz [[CQ], a well known
telecommunications analyst, said that the deal represents a "major
leap" in Argentina-US Internet communications, as previous to the
Argentine full telecommunications deregulation (effected by the end of 2000)
the only authorized international data carrier was Telintar SA, owned by the
two major incumbent telephone companies operating in Argentina (Telecom
Argentina SA and Telefónica de Argentina SA). The carrier had a rather limited
throughput capacity.
According to the statement, the agreement opens a time of
cooperation for Impsat -- a large international data and video carrier -- and FiberTel.
Both companies will develop "swapping agreements" for the use of
infrastructure facilities and reciprocal last mile access in their areas of
coverage. For instance, Impsat will provide a redundant "last mile"
access to Fibertel's Points of Presence (PoPs) in the Buenos Aires area and Fibertel
will facilitate the delivery of Impsat's services to small and medium size
businesses. Impsat is mostly devoted to corporate subscribers at present.
FiberTel is a fully owned subsidiary of the CableVisión SA
video cable operator. CableVisión is the largest cable television service
provider in Argentina. By September 30, 2000, their cable television system
served approximately 1.45 million subscribers, resulting in a national market
share of approximately 28 per cent. FiberTel offers cable modem access to its
subscribers in the Greater Buenos Aires area, and has recently announced that
it will serve as a wholesaler of broadband Internet access for other ISPs
within its area of coverage.
Impsat Fiber Networks Inc. (NASDAQ:IMPT) is a provider of
integrated data, Internet and voice broadband telecommunication services for
Latin America. The company has operations in the U.S., Argentina, Colombia,
Venezuela, Ecuador, México, Brazil, Chile and Perú.
Impsat Fiber Networks Inc. in Buenos Aires can be contacted at +54 11 5170-3700, or at http://www.impsat.com. FiberTel SA can be contacted at +54 11 4778-8718 or at http://www.fibertel.com.ar
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