OnFiber Communications acquires Telseon, extends network to 12 major U.S. metros
August 7, 2002--OnFiber Communication Inc., service provider of metro optical connectivity, has acquired a majority of the network assets and customer contracts of Telseon Inc., a leading competitor.
OnFiber Communication Inc., service provider of metro optical connectivity, has acquired a majority of the network assets and customer contracts of Telseon Inc., a leading competitor. The acquisition will expand OnFiber's network from 10 major U.S. metros to 12, adding Denver and Miami. The acquisition also increases the total value of OnFiber's customer contracts by 40%--to $39 million, say company representatives.
"OnFiber is continuing to execute on its plan of financially conservative growth in this uncertain market," explains Danny Bottoms, president and chief executive officer at OnFiber. "The integration of the networks will bring great value to the customers of both companies by expanding into new metros, deepening the footprints in current metros and broadening our service offerings."
As a result of the acquisition, OnFiber will add approximately 90 new customers, including Cable & Wireless USA, eBay, Internap, and Williams Communications. OnFiber's existing customers include Broadwing, Qwest, Telia International Carrier, Microsoft, Google, Yahoo!, Electronic Arts, and Cisco Systems. Additionally, OnFiber's traffic aggregation points double to more than 100, significantly increasing connectivity options for its customers. The combination of OnFiber's wavelength and SONET services with Telseon's Ethernet services will provide customers with the most comprehensive suite of metro optical services found in the industry today, contends the company.
"OnFiber has demonstrated staying power by investing wisely in situations that create new and immediate revenue streams," adds Jon Cordova, directing analyst, Infonetics Research. "Acquiring the networks of Telseon is another step in the right direction for OnFiber as they continue to take a leadership position in the metro optical arena."
For more information about OnFiber Communications Inc. (Austin, TX), visit the service provider's Web site at www.onfiber.com.