ENGLEWOOD, Colo., Jan. 27, 2000 - ICG Services, Inc., asubsidiary of ICG Communications, Inc. (NASDAQ: ICGX), todayannounced it will substantially expand its nationwide network withCisco Systems equipment. As an existing Cisco PoweredNetwork, ICG already has ordered more than $60 million ofCisco products and services as part of its strategic initiative to offercustomers an enhanced suite of communications services.
ICG is enhancing its tier one, broadband nationwide network andexpanding capacity in order to meet customers' increasing accessand transport needs. To help meet these needs, ICG has purchasedCisco's core infrastructure product line and dial access server line.These purchases will help ICG extend its reach and reliability, allowfor delivery of various bandwidth levels, as well as priority bandwidth,provide routing of both voice and data calls, and allow formulti-functional features such as managed modem service toconsumers and businesses. In addition, this network expansion allowsICG to provide its customers with an enhanced suite of products andservices including virtual private networking and advanced Voice overInternet Protocol (VoIP) applications such as universal messaging.
"Cisco has been, and will continue to be, a tremendous partner ofICG's," said Bill Beans, ICG president and chief operating officer. "Ourexpanding Cisco Powered Network will redefine our product andservice capabilities and give us another competitive advantage in therace for increased market share."
In addition, ICG signed a vendor financing commitment letter withCisco Systems Capital Corporation, the financing arm of Cisco, forapproximately $180 million. The commitment is subject to finalizationof definitive legal documentation.
As a Cisco Powered Network, ICG has proven it offers the highestlevel of network quality and reliability. ICG's participation in theprogram-including the use of the Cisco Powered Network logo tobrand its services-is designed to demonstrate its ability to provideinnovative services, increase customer confidence and heightenbrand recognition for ICG.
"ICG understands the Internet's impact on the telecommunicationsindustry and, through its Internet infrastructure, is helping to buildthe New World in communications," said Don Listwin, Cisco Systemsexecutive vice president. "By implementing an integrated data andvoice network from Cisco, ICG is extending the New World to itscustomers. Today's announcement builds on the existing relationshipand provides ICG with greater network reliability and a more diverseproduct and service mix."