Today's Top Stories Level 3 Communications (NYSE: LVLT) has added data center services to the list of products it provides to MLB Advanced Media (MLBAM), the interactive media and Internet company of Major League Baseball (MLB). MLBAM said it will use the data center services to support the archival, backhaul and Internet video streaming needs of its media properties and work with Level 3's content delivery network (CDN) and Internet services. As part of the agreement, MLBAM will connect various products such as MLB.TV to Level 3's data center in Omaha, giving it direct access to its international network. Having this connection will be a key tool in helping MLBAM expanding its global reach. "With millions of fans accessing the great content that is live baseball games every day, it's important MLBAM is able to not only accommodate that growth, but also continue to provide a superior viewing experience to our audience," said Joe Inzerillo, senior vice president of Content Technology/CTO at MLBAM, in a release. With over 350 data centers in the United States, Europe and Latin America, Level 3's data center reach is quite large. The deal with MLBAM is also significant for Level 3 in that it adds another major content site to its growing CDN and data center customer base. While it won't release its Q2 2013 earnings until this Wednesday, in Q1 2013 Level 3 reported that Core Network Services (CNS) revenue, including data center services, grew 2.2 percent year-over-year to $1.37 billion. For more:
- see the release
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AT&T Mobility (NYSE: T) is enhancing its rural wireless coverage with a deal to acquire Sergeant Bluff, Iowa-based Long Lines' wireless network unit as the rural telco looks to sharpen its focus on its wireline business. Financial terms of the deal were not disclosed. Expected to be completed in Q4 2013 after it receives the FCC's approval, Long Lines said it plans to "re-invest the proceeds of its wireless asset sales" to expand its wireline-based services, including its growing consumer and business broadband service segments. None of Long Lines' wireline-based data and video service customers will be affected by the sale. "We concluded that Long Lines could best serve our customers by focusing our attention and investing our resources in providing new features for our non-wireless services including voice, broadband services, and cable TV, and in expanding our fiber optic network to reach more communities and customers," said Brent Olson, CEO of Long Lines, in a release. Similar to other rural telcos, Long Lines is a multi-faceted telco that has expanded beyond its traditional telephony-centric roots by building out cable networks in partnership with local municipalities in Iowa. The telco recently introduced a 100 Mbps broadband offering over its DOCSIS 3.0 network and offers 10 Gbps Ethernet, MPLS and data center services to local businesses. While Long Lines is exiting the wireless delivery business it entered into in 2005 when it purchased two other smaller operators, it appears to be retaining a wireless backhaul relationship with AT&T Mobility, which said it will purchase fiber-based transport services. For more:
- see the release Special Report: Frontier, FairPoint, others find new wholesale life with wireless backhaul Related articles:
AT&T U-verse subs top 9.4 million in Q2, 45 Mbps speeds coming soon
AT&T forecasts strong U-verse adds in Q2 2013
AT&T Q1 consumer wireline revenues rise 2% to $5.5 billion on strong U-verse gains
Report: AT&T, Verizon retain dominant spots in cloud market Read more about: AT&T
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America Movil's (NYSE: AMX) pay-TV business continued to be a strong performer in the service provider's wireline portfolio, making up 44 percent of the 1.6 million new revenue generating units (RGUs) it gained in Q2 2013. At of the end of June it had a total of 66.8 million RGUs, up 9.1 percent year-over-year. As of the end of the quarter, the service provider had a total of 18.2 million and 17.8 million wireline broadband and pay-TV subscribers, respectively, and a total of 30.7 million traditional wireline phone customers. Similar to U.S.-based providers AT&T (NYSE: T) and Verizon (NYSE: VZ), both of which recently announced their Q2 earnings results, Amercia Movil reported that service bundles were a key factor of its wireline broadband and video service growth. Sixty percent of the telco's net additions were triple-play packages, while 31 percent were double play. Only 9 percent subscribed to just one service. On a regional basis, almost 70 percent of the new RGUs were from Brazil, which is its largest wireline market with a total of 30.8 million RGUs. From an overall financial perspective, consolidated revenues were $1.56 billion U.S. dollars, while service revenues accounting were $1.36 billion. In separate news, America Movil ended its relationship with Dutch incumbent telco KPN, but did not provide any specific details. Last year, Mexican-based provider acquired an almost 30 percent stake in KPN last year for around $11 per share. America Movil's move comes after KPN said it planned to sell its German-based subsidiary E-Plus, to Telefónica for $10.8 billion. Shares of America Movil were listed at $21.44, down 16 cents, or 0.74 percent, in Monday morning trading on the NYSE. For more:
- see the earnings release (.pdf)
- The New York Times has this article Special Report: Wireline telecom earnings in the second quarter of 2013 Related articles:
America Movil's gains in pay-TV, triple play can't stem 17.4 percent revenue drop
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America Movil Q4 revenues down 1% amidst 1.4 million gain in broadband RGUs
Telmex fined $51.6 million for anticompetitive practices Read more about: America Movil
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tw telecom (Nasdaq: TWTC) is helping its retail enterprise customers satisfy their bandwidth needs with the introduction of an alerts-driven dynamic capacity capability for its Ethernet bandwidth-on-demand option. Building on its growing intelligent network initiative, which includes its one-to-many national Ethernet interconnection solution and Dynamic Capacity services, the CLEC is now allowing customers to pre-set bandwidth utilization thresholds. Supporting up to 10 Gbps, a customer's Ethernet bandwidth will be doubled or tripled when the usage threshold is reached. The CLEC said that the new Alerts Driven Dynamic Capacity service ties together the first two phases of its Intelligent Network portfolio, which increases the velocity at which enterprises buy and consume dedicated network services. This new feature is available to current and prospective customers of Ethernet customers that currently have access to its Enhanced Management and Dynamic Capacity capabilities in its 18,500 tw telecom fiber-connected buildings. For more:
- see the release
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tw telecom's Ethernet portfolio gets MEF CE 2.0 certification Read more about: Carrier Ethernet, tw telecom
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BT (NYSE: BT) may have reported that its first quarter consumer revenues were flat, but it has set a path for future broadband growth with the addition of 197,000 retail fiber-based broadband customers. It ended the period with a total 1.5 million FTTx broadband customers. Two of the notable events that took place during the quarter were the launch of its slimline BT Hub 5 and a 300/20 Mbps fiber to the premises speed option in 50 markets. It also added 23,000 TV subscribers, advancing the customer base to 833,000. The service provider reported that it passed a total of 16 million premises with its fiber network with over 1.7 million homes and businesses using its fiber-based services. Its retail share of the broadband market was 50 percent. From an overall financial perspective, the service provider reported that revenue declined 1 percent to $6.89 billion. BT retained its full-year outlook. It expects that EBITDA in the first half of the year will be impacted by its investment in BT Sport. In the second quarter it expects this to impact BT Retail EBITDA by about $154 million including program content costs that it will start to incur. Shares of BT were trading at $51.67, down 0.45, or 0.86 percent, in late Monday morning trading on the New York Stock Exchange. For more:
- see the earnings release Special Report: Wireline telecom earnings in the second quarter of 2013
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BT to deliver 300 Mbps FTTP service
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Masergy takes on BT, Level 3, Orange in Latin America with new PoPs
BT conducts 800G trial with Ciena Read more about: BT
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