News Briefs

IDT Corp. said it will buy wholesale VoIP provider Net2Phone Inc. for approximately $28.1 million and turn it into a privately held, wholly owned subsidiary. If all goes as planned, IDTs subsidiary, NTOP Acquisition Inc., will merge with Net2Phone, and keep the Net2Phone name.

Progress Telecom LLC now offers customers the ability to bundle current and future bandwidth needs into one transaction, thereby qualifying for volume discounts. Customers are able to order, activate and bill smaller increments of bandwidth needs over a specified time frame to fulfill their total commitment. FlexBand is available for customized DS1, E1, DS3 and OCn configurations.

XO Communications Inc. has introduced XO VoIP Origination, which provides broadband telephony providers, cable companies and others with interconnection, transport and origination of local calls nationwide through a single IP connection on the XO IP network. Incoming calls can originate in either IP or TDM format.

ITC^DeltaCom Inc. has introduced new wholesale local access services designed to be an interface between the PSTN and an IP network. It includes origination and termination service off of the PSTN as well as local DIDs, 911 service and access to the LIDB. Customers will use their own VoIP gateways.

CLEC Courting Continues

In yet another example of consolidation in the CLEC marketplace, CTC Communications and Choice One Communications announced in February they are merging.

Ken Peterson

The combination will create one of the largest CLECs in the United States, and the largest privately held CLEC in the Northeast. The new entity, which has yet to be named, will generate more than $550 million in annual revenue, and serve more than 100,000 customers via 1 million access line equivalents. The companies executives also said the combined network will have 7,000 route miles of fiber connecting 630 colocations. The two companies networks overlap in seven states from Maine to Pennsylvania.

It has become clear that in order to prosper in a competitive sector we should respond to the recent megamergers of the dominant incumbent phone companies, said Kenneth D. Peterson Jr., chairman of CTC and CEO of Columbia Ventures Corp., which owns CTC.

Peterson will serve as chairman of the board. Thomas J. Casey, chairman and CEO of Choice One, will serve as CEO, while Ray Allieri, president and CEO of CTC, will serve as president.

Choice One Communications
CTC Communications Corp
IDT Corp.
ITC^DeltaCom Inc.
Net2Phone Inc.
Progress Telecom LLC
XO Communications Inc.

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