News Releases

New Edge Networks Takes Giant Leap for Bridging Digital Divide; Eliminates Barriers for Meeting Growing Broadband Demand in Smaller Cities

VANCOUVER, Wash. - (June 27, 2000) - New Edge Networks today took a giant leap forward in bridging the digital divide when it announced completion of a national data communications network that will help usher in broadband access to underserved smaller markets around the country.

Internet and other broadband services providers now can use New Edge Networks' super-fast data communications network, and eliminate a local physical presence and capital expenditures that discourage or delay investments for offering new broadband services in smaller cities and towns. New Edge Networks' facilities-based national backbone ring is based on Asynchronous Transfer Mode, or ATM technology.

"Elimination of a major economic barrier will encourage Internet service providers to expand their presence into underserved cities and towns, quickly bringing broadband where people need it most," said Dan Moffat, president, CEO and co-founder of New Edge Networks. "We're seeing tremendous demand for broadband in these markets."

"Our wholesale customers can be as local, regional or national as they want to be and focus their investments on growing their business, not adding to the wrong side of their balance sheets," Moffat said. "We can provide our wholesale customers access to the last mile with a fat pipe. This is a giant leap in helping bridge the digital divide at a time when demand for broadband far outstrips all current capacity."

New Edge Networks' new data communications network forms a huge ring around the country and currently includes more than 325 ATM switches. It can haul Internet traffic from anywhere and deliver it anywhere else making it easy, efficient and cost effective for wholesale customers to reach end users in the small, midsize and semirural markets the company is targeting with DSL service. This helps New Edge Networks build and maintain market leadership faster.

New Edge Networks, the leading national wholesale broadband services provider in small, midsize and semirural markets, provides high-speed Internet access in more than 220 central office locations, representing more than 135 cities and towns. In addition to its operating locations, New Edge Networks has installed DSL network equipment in another 130 locations, bringing to more than 350 the total number of installed or operational locations in 20 states. Work is progressing on about 750 other locations in all 50 states.

Each of these locations is connected to the ATM backbone ring directly or through other regional hubs, providing high-speed connections for wholesale customers.

New Edge Networks' backbone network ring allows its customers to bypass major portions of the public Internet and avoid growing traffic congestion. The backbone ring provides diverse routing and self-healing functionality.

"New Edge Networks designed and built a premium quality network that others in our business are still envisioning," said Steve Hensley, chief technology officer and co-founder of New Edge Networks. "The ATM technology behind our network helps New Edge Networks sustain its lead and competitive advantage as a premier broadband service provider in smaller markets around the country."

Internet service providers and other wholesale customers interconnect with New Edge Networks in local cities where the company provides DSL service or at any of the current 14 regional aggregation points, or RAPs, that form the national backbone ring. New Edge Networks owns and maintains the switching equipment in the RAPs and leases lines from national transport carriers. New Edge Networks plans to install new RAPs as it expands its nationwide DSL footprint coverage.

New Edge Networks' current RAPs are located in Seattle, Portland, Sacramento, San Jose (Sunnyvale, Calif.), Los Angeles, San Diego, Dallas, Orlando, Atlanta, Washington, D. C. (Ashburn, Va.), Chicago, Minneapolis, Denver and Salt Lake City. These cities are linked together to form the huge network ring around the United States. Most regional and national ISPs are within 10 miles of a New Edge Networks RAP location.

About New Edge Networks

Based in Vancouver, Wash., New Edge Networks was founded in June 1999 to provide wholesale DSL service nationally in small, midsize and semirural markets through local, regional and national Internet service providers, communications companies, and other strategic partners. The company currently is certified to provide service in 45 states and plans to offer service in all 50 states by early next year. Top-tier private venture firms, global financial institutions and worldwide technology firms provide financial backing to New Edge Networks. These include: Accel Partners, Comdisco Ventures, Crosspoint Venture Partners, Goldman Sachs & Co., Greylock, Intel Corporation, Meritech Capital Partners and Morgan Stanley Dean Witter. The company's Web site is www.newedgenetworks.com.

Note to Editors: A map of New Edge Networks' national coverage and backbone network ring is available for download at http://www.newedgenetworks.com/pressroom/resources/presskit/
t4_map.html

Contact:
Sal Cinquegrani
(360) 906-9723

» More New Edge Networks News Releases