XO Communications expands international reach with South Texas gateway serving Mexico

JANUARY 27, 2010 -- XO Communications is establishing a new gateway on the U.S.-Mexico border in McAllen, Texas, increasing its international network connectivity to Latin America.

XO also is expanding its fiber network in Southern Texas by 800 miles, providing greater diverse long-haul routes to San Antonio and Houston through Laredo, McAllen, Harlingen, Corpus Christi, and Victoria. The increased connectivity will expand domestic and international customer access to XO’s Tier-1 IP backbone and 28,000 route-mile U.S. long-haul/metro network (1.2 million total-mile network).

XO, with a presence in the largest U.S.-Mexico cross-border telecom corridor, now can provide direct network access to dozens of U.S. and Mexican telecom carriers through a carrier-neutral facility in McAllen. This international gateway in McAllen represents XO’s fourth to Latin America, with others in Miami, San Diego, and Los Angeles.

Mexico is the third-largest destination for telecom traffic from the U.S., with the U.S.-Mexico voice, private-line, and IP services market totaling nearly $1 billion annually (FCC International Report, 2009). In addition, the country’s mobile subscriber base is growing 10 percent annually and its broadband subscriber base is expanding 35 percent annually, according to COFETEL, Mexico’s federal government telecom regulator.

“With double-digit growth in mobile and broadband services in Mexico, the Texas-Mexico border is a natural point for XO’s network expansion,” says Don MacNeil, vice president of XO Carrier Services Operations. “By expanding the reach of our nationwide network and establishing points of presence across Southern Texas, XO will be able to offer carriers and their customers competitively-priced, high-speed private line (DS3-10G wave), IP/MPLS transit, and wholesale voice termination services.”

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