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New World Telecom Joins Forces With Global Crossing

New WorldTelecommunications Ltd. (NWT) today announced that it has forged a strategicalliance with Global Crossing (Nasdaq: GLBC) that will deliver tomultinational enterprises seamless, secure, reliable multi-protocol labelswitching (MPLS) IP VPN and international private leased circuit (IPLC)services spanning more than 500 cities in 50 countries. By interconnectingtheir state-of-the-art networks, the two companies will deliver a unified,superior experience to their multinational customers worldwide. Through this strategic alliance, NWT will extend its global reach throughGlobal Crossing's MPLS-based IP network and its iMPLS(TM) service, an enhancedprovider-interconnect solution that allows NWT to offer its regional customersa global MPLS-based IP VPN service reach with guaranteed performanceservice-level agreements (SLAs). iMPLS enables the connection of GlobalCrossing's sophisticated, IP-based network with NWT's pioneering next-generation network, equipped with a unique "packet-over-fiber" platform thatsupports convergence of voice, data and video. "We are delighted to collaborate with Global Crossing, a leading telecomcarrier with a fully meshed MPLS IP network around the globe," said Peter Hung,vice president, marketing of NWT. "This collaboration represents anothermilestone in extending our reliable MPLS IP VPN and IPLC services worldwide.It also constitutes the cornerstone of our Managed Network(TM), encompassing awide range of converged IP service offerings. The alliance is also animportant part of our ongoing efforts to become a next-generation broadbandservice provider, offering enterprise customers a full array of integrated IPcommunications and applications, supported by our robust Cisco-based IPbackbone and Tier-1 IP peering partnership with major telecom powerhouses inHong Kong." "We regard Hong Kong as an important and strategic location for our marketexpansion in Asia. NWT shares our vision to deliver premium network servicesto multinational enterprises," said John Legere, Global Crossing's CEO. "NWT'sstrong IP infrastructure and service commitment make it an ideal Fast-Trackpartner for achieving this business goal." Fast-Track enables service providers to increase their speed-to-market andrevenue realization by expanding their geographic reach, broadening theirrange of converged IP service offerings and providing a unified experience totheir customers around the world. By using this strategic solution, serviceproviders avoid the costly expenditures and long lead times generallyassociated with service expansion. "National and global service providers are increasingly using strategicpartnerships to add value and extend the breadth of services they offer theirmultinational clients. NWT's alliance with Global Crossing illustrates theuse of such a partnership to address the growing demand in Asia-Pacific forinternational data and IP services," stated Rena Bhattacharyya, ProgramManager at IDC. "By working with Global Crossing, NWT plans to leverage itspartner's international assets, extending its geographic reach and broadeningits portfolio of services for multinational enterprises." In 2001, NWT became the first telecom service provider in Hong Kong tooffer MPLS IP VPN service to its enterprise customers with cross-borderoperations for the transmission of data, voice and video applications. Thanksto its proven track record in service delivery, NWT has already established aleading market position in the MPLS IP VPN market in Hong Kong. About New World Telecommunications Limited Established in 1995, New World Telecom (NWT) is a member of New WorldDevelopment Company Ltd. Backed by its advanced Next Generation Network, NWThas evolved from a traditional telecom carrier into a Next GenerationBroadband Service Provider offering a wide spectrum of unparalleled integratedcommunication solutions, applications and content services, such as broadband,IP telephony, VPN, IPLC, system integration, wireless solutions, local andinternational voice services, etc. NWT has continuously expanded its business coverage by investing in bothlocal and international network infrastructure, and establishing bilateralpartnerships with 100 global incumbents and major carriers. In addition, NWThas obtained appropriate facility-based licenses and has establishedPoint-of-Presence facilities and offices in strategically selected countriesand regions, including the US, Taiwan, the UK and Singapore. For details, please visit http://www.newworldtel.com. About Global Crossing Global Crossing (Nasdaq: GLBC) provides telecommunications solutions overthe world's first integrated global IP-based network. Its core networkconnects more than 300 cities and 30 countries worldwide, and deliversservices to more than 500 major cities, 50 countries and 6 continents aroundthe globe. The company's global sales and support model matches the networkfootprint and, like the network, delivers a consistent customer experienceworldwide. Global Crossing IP services are global in scale, linking the world'senterprises, governments and carriers with customers, employees and partnersworldwide in a secure environment that is ideally suited for IP-based businessapplications, allowing e-commerce to thrive. The company offers a full rangeof managed data and voice products including Global Crossing IP VPN Service,Global Crossing Managed Services and Global Crossing VoIP services, to morethan 40 percent of the Fortune 500, as well as 700 carriers, mobile operatorsand ISPs. Please visit http://www.globalcrossing.com for more information aboutGlobal Crossing. Statements made in this press release that state Global Crossing'sintentions, beliefs, expectations, or predictions for the future are forward-looking statements. These statements contain words such as "anticipate,""estimate," "expect," "project," "intend," "plan," "believe," "will," "seek,"or similar expressions. Such statements are subject to known and unknown risks,uncertainties and other factors that could cause the actual results to differmaterially from those contemplated by the statements, including theconditioning of the company's continued listing on the NASDAQ National Marketon its timely filing with the SEC of all periodic reports for all reportingperiods ending on or prior to September 30, 2005; the company's history ofsubstantial operating losses and the fact that, in the near term, funds fromoperations will not satisfy cash requirements; the ability of the company toarrange the necessary financing to fund its liquidity requirements includingthrough a working capital facility; legal and contractual restrictions on thepayment of dividends and the inter-company transfer of funds by the company'ssubsidiaries, including restrictions under the senior secured notes indentureapplicable to the company's primary operating subsidiary in the UK; thelikelihood that the prices the company charges for its services will continueto decrease; the company's ability to continue to connect its network toincumbent carriers' networks or maintain Internet peering arrangements onfavorable terms; the success of the company's business realignment plan andthe realization of anticipated cost savings; the consequences of anyinadvertent violation of the company's Network Security Agreement with the U.S.Government; the impact of actual and potential customers' bankruptcies on thecompany's sales prospects and results of operations; increased competition andpricing pressures resulting from technology advances and regulatory changes;competitive disadvantages relative to competitors with superior resources; theimpact on the company's competitiveness of its technology choices; thecompany's dependence on third parties for many functions; political, legal andother risks due to the company's substantial international operations; andother risks referenced from time to time in the company's filings with theSecurities and Exchange Commission. The company undertakes no duty to updateinformation contained in this press release or in other public disclosures atany time.

Speculation grows over 'Google Telecom'

A weekend report has said that master of internet searches Google is set to launch a VoIP service.
The Times newspaper has reported that Google will soon offer a free voice over IP telephony service, the latest in the company's growing arsenal of free products and services. It is expected that the service will include downloadable software that will allow broadband internet users to make free phone calls over the internet using a computer and headset.
Few details are offered about the nature of the service, and the report is based partly on speculation driven by comments from UK-based consulting firm Ovum, as well as a recent job advert on Google's website which calls for a "strategic negotiator" to help the company to provide a "global backbone network."
Ovum envisions a service that, for example, would allow consumers to search for a florist on the internet, find a nearby florist, and click on a link to give the florist a call over the internet.
"This would be an obvious development for the world's leading search engine. Millions have downloaded the 'Google toolbar,' so why not a VoIP client too?" said Julian Hewett, chief analyst with Ovum, in a statement released after the Times article was published. "The appeal for Google is obvious: search for something, then 'click here' if you'd like to speak to the company that's selling what you're looking for. Google then collects a fee from the 'sponsor' for each voice connection. Voice calls with very little cost AND funded by advertising. What a sweet extension to Google's advertising-driven business model!"
Indeed, the appeal of VoIP technology is quickly gaining ground among consumers, especially in the US. Voice over Internet Protocol allows individuals to make low-cost or free calls over the internet, provided they have a broadband connection and a properly-equipped phone or computer. The rise in VoIP has also spawned growth in the number of smaller VoIP-focused telecoms firms, such as Skype, Net2Phone, Vonage, SIPphone and many more, including VOIP Ireland and Blue Face in Ireland. The traditional telecoms companies such as AT&T, BT, Eircom and Esat BT have also jumped on the VoIP bandwagon in recent years.
Meanwhile, Google has been engaged in what seems to be a rapid expansion of its service portfolio in all directions. The company, which started off as a humble internet search engine, now offers blogging services, online digital image management, e-mail, internet advertising, desktop PC searches, online book searches, and much more.

LG Elec to Set Up Telecom Joint Venture With Nortel

South Korea's LG Electronics Inc. and Canada's Nortel Networks Corp. will set up a telecoms equipment joint venture, Korea Economic Daily reported in its Internet edition, citing industry sources.
LG, the world's fifth-largest mobile phone maker and a small player in telecoms infrastructure, had said in September it may sell its telecom equipment business or set up a joint venture with a foreign partner, such as Nortel.
LG Electronics declined to comment on the subject but the company is scheduled to hold a news conference at 11 a.m. (0200 GMT) regarding its telecommunication business.
LG would own a 49 percent stake in the proposed joint venture and Nortel the remainder, the report said.

Telecom tax overhaul on the way

DirecTV satellite television customers who turn to channel 246 will be greeted with what may be a surprise to most of them - a warning to "STOP THE UNJUST SATELLITE TAX" in Virginia.The tactic is a foreshadowing of a looming tax reform battle over how to tax television and telecommunications services in Virginia. Legislators hope the 2005 session will bring nothing short of a complete overhaul of the way telecom services are taxed in Virginia.If successful, beginning in July Virginia state and local governments will collect a new flat 5 percent tax statewide that will replace a long list of taxes and fees. Consumers would get easier-to-read and cheaper phone bills, but some untaxed services like Internet-based calling, paging and satellite television would become subject to the 5 percent levy.A major change of the telecom tax landscape also would represent a major victory in the effort to improve how taxes are levied and distributed in Virginia. For years, state legislators have been examining ways to tax similar services equitably and reduce burdens on citizens and businesses.But the proposal has stirred concern from a wide range of constituencies that will fight over the details, including local governments and competing elements of the telecom and television industry with deep pockets.The groups have been meeting for three years with a legislative study committee headed by Del. Preston Bryant, R-Lynchburg, to hammer out the details. The product of negotiations that lasted through this week is a bill submitted Friday by Del. Samuel A. Nixon Jr., R- Richmond.Under the current system, companies like Verizon collect taxes at different rates from customers in every Virginia locality. The companies then separate the taxes from each customer's bill payment and write monthly checks to the localities."If you're a statewide provider of telecom services, you would be required to fill out over 4,300 tax forms in Virginia" in a year, said William Allcott, spokesman for a broad coalition of often-warring telecom companies supporting the bill.The administrative costs of collecting the taxes add to the cost of telecom bills, said Allcott. Further, it provides a headache for consumers and the customer service departments of companies that must explain the charges.The biggest fights may be over the addition of taxes for satellite television. The industry, which has banded together to fight bills in numerous states, claims there are 700,000 Virginians who subscribe to satellite service.DirecTV and DishNetwork banded together to create www.stopsatellitetax.com, a Web site that has been used to fend off taxes in other states. The DirecTV channel directs people to the site, which directs customers to call legislators and fire off forms letters."It's been a very effective and efficient way for us to let our customers know," said Bob Marsocci, a DirecTV spokesman.The industry argues that it does not use the public right-of-way to tear up streets and property, which is why cable companies pay franchise fees to local governments nationwide."They place a burden on that public infrastructure and pay for the right to do that," said Marsocci.Local governments are worried that they could lose some of the taxes they now collect if for example, a 20 percent local tax is replaced with a 5 percent tax. So legislators have spent years finding a way to make sure the local governments won't face new deficits.Bryant said it's gotten easier over the last couple of years to sell the changes to local governments, which have seen the number of local landline phones that are taxed plummet. Consumers are replacing those phones with untaxed wireless and Internet-based calling.To bring local governments on board, the plan will ensure they get the same amount of revenue they collect now. So even though local taxes will go up slightly or down drastically for some consumers to 5 percent, local governments will still get the same amount. But localities are worried about state government raiding the fund."It's something they're pretty wary of because of past experience with other taxes," said Virginia Municipal League lobbyist Roger C. Wiley. "When money comes to Richmond, it has a tendency to stay here."So the bill included a provision allowing the state ax department to establish a trust fund and pay the local governments monthly without going through the legislative process - essentially barring lawmakers from raiding the fund.Local governments have also realized that as the number of phone landlines is declining in favor of untaxed wireless and Internet-based calling, so are the revenues. Localities see that the flat tax will replace a local tax base that is shrinking, said Wiley.In order for the state to still collect enough money to make the changes revenue-neutral for local governments, other services will need to be taxed.Some legislators argue that it is unfair to tax some similar services at different rates or not at all.Besides the flat tax, there will be a 75-cent tax on each of the 9.8 million local and wireless phone lines statewide.Taxes that would no longer be line-items on a bill include: taxes on local and wireless phone services, a local license tax, state and local E-911 taxes and fees and the tax that funds the Virginia Relay Center that helps deaf people communicate with telephone-like devices.

Michael Powell stepping down as head of FCC

Powell, who has held the job for four years, said in a statement that he informed President George W Bush that he would depart in March.
Powell, the son of Secretary of State Colin Powell, who also is leaving the Bush administration, said he had completed a "bold and aggressive agenda" and looked forward to spending more time with his wife and two sons.
"Chairman Powell has been a valued member of the administration," White House spokeswoman Erin Healy said. "He has shown a strong commitment to expand the reach of new communications technologies and services and has helped advance the president's goal that all Americans should have access to affordable broadband by 2007."There was no immediate word on a successor.
Jonathan Cody, a friend and FCC adviser to Powell on media ownership, said Powell assessed his tenure at the FCC during the holidays and felt that he had accomplished his goals.
Powell, a champion of deregulation who critics had said was too pro-big business, rose from commissioner to chairman when Bush took office in 2001. His term was to run until 2007.
While tackling complex issues ranging from telephone competition to rules for media ownership, Powell is perhaps best known for overseeing a dramatic crackdown on broadcast indecency.
The FCC received more than 1 million indecency complaints in 2004, most of them involving singer Janet Jackson's Super Bowl halftime performance last February. CBS is contesting a proposed FCC fine of $550,000 (euro424,285) for the incident.
Fines for indecent programming exceeded $7.7 million (euro5.9 million) last year, a huge increase from the $48,000 (euro37,000) imposed the year before Powell became chairman. Powell has praised the record fines, saying the commission was "wielding our sword" to protect children and viewers who object to racy programming.

Comtech Telecom Gets Defense Dept. Pact

Comtech Telecommunications Corp. on Wednesday said its Maryland-based Mobile Datacom Corp. unit received an initial $6.7 million of funding on a contract to supply satellite capacity, communications and network management services and support to the Defense Department. The agreement is worth up to $13.6 million and supports the Force XXI Battle Command Brigade and Below - Blue Force Tracking real-time situational awareness command and control system. The company said it expects a definitive contract to be reached and additional funds to be made available in the next few months. Comtech Telecommunications shares rose 77 cents, or 2.2 percent, to $35.22 in midday trading on the Nasdaq.

SR Telecom Strapped for Cash

SR Telecom Inc. warned of losses in its fourth and first quarters yesterday, blaming delays in orders for its telecommunications equipment and lower production due to dwindling credit.
Investors sold the shares hard on the news, driving them down 31.5 per cent on the day. But a sizable retreat ahead of the news prompted a Canadian market watchdog to launch a probe.
Blaming unexpected delays in receiving purchase orders under existing contracts and the delay of some shipments into the first quarter, SR Telecom forecast fourth-quarter revenue between $22 million and $25 million.
That is down from third-quarter sales of $37.4 million and a sharp decline from year-earlier revenue of $41.6 million.
The company also said it will not break even in its core wireless business in the quarter, generating instead a "significant loss."
It also warned of a "significant" first-quarter loss on the basis of earnings before interest, tax, depreciation and amortization. SR Telecom said a reduction in available supplier credit crimped raw-material purchases, resulting in a production slowdown.
The stock sank 82 cents to close at $1.78 on the Toronto Stock Exchange in heavy volume The stock was halted at mid-morning in Toronto, but had already slid $2.18 from its opening level of $2.52 before the news was released. The shares also took sizable losses on Monday and Tuesday.
The price activity prompted Market Regulation Services, which polices trading on the Toronto Exchange, to launch a probe into the company.
"We'll be looking into the trading that went on, particularly over the last 48 hours, with the interests of seeing who did the trading and to make sure everything was above board," said Doug Maybe, Market Regulation Services spokesman.
The Montreal-based company said it had entered into a non-binding letter of intent from a major U.S. lender for a five-year revolving senior secured credit facility worth up to $50 million.
At the end of the fourth quarter, the company said it had about $6.9 million in cash, of which $1.9 million was restricted.

Earthlink Debuts Corporate Blog

Steve Rubel Contributing Writer 2005-01-17
Earthlink, a major ISP, today debuted its first corporate weblog. The TypePad-powered ...... blog site provides information to help consumers stay safe while they're surfing the Web. Chris Brandon, the blog's Managing Editor, wrote in an email to me ... "This is a brand new endeavor for us, and we're doing it to communicate with customers and non-customers in a new way. We also think it can play an important role in building our brand as the online advocates." Wow. That's great. Can I get an ayyyymen? The Earthlink blog - at http://www.protectionblog.net/ - has comments and trackbacks turned off, at least for now. Too bad. However, it does at least have an RSS feed and the site is written in human speak by real individuals, not in corporate-speak. Congrats to Earthlink for joining the blogosphere and doing it properly.View All Articles by Steve Rubel
About the Author: Steve Rubel is a PR strategist with more than 10 years of public relations, marketing, journalism and communications experience. He currently serves as Vice President, Client Services at CooperKatz & Company, a mid-size PR firm in midtown New York City. Rubel evangelizes the application of Weblogs and RSS in traditional public relations campaigns.

How do I find a DSL Provider?

In addition to limiting your search a broker will also help you identify important facts about your new service. Remember to look at the extra charges like equipment and installation. Sometimes these charges are waived and sometimes they are not. Also be careful to note the commitment. Is it 1 year or two years that you're committing to? Many companies will offer bigger discounts but lock you in to a longer contract. Don't get caught! Make sure you know what you're getting into by going to a broker and comparing DSL Providers side by side.
A DSL Speed Test is a great way to find out what kind of speed you're really getting. Is your connection really slow or is it just the fast that you're working with an old, slow, or over tasked computer? Simply find the DSL Speed Test by performing a search on Google and you'll quickly be on your way to finding out what you're really getting. You'll have to shut down your programs that are accessing the net and then perform the test which takes 30 seconds or so. It's very important to shut down programs accessing the net because these will impair the test and will cause your connection to appear slower than it actually is since some of it is being used.
One last "gotcha" is the introductory price. DSL Providers may claim to give you service for $20 ro $25 per month but it's likely an introductory price that lasts only a few months. If you're willing to sign on for the term, just make sure you know what you're paying when the introduction ends.

How does MSN stack up against the other DSL providers in my area?

How does the largest software giant in the word increase revenue? That is the billion-dollar question facing planners at Microsoft. As the market leader in operating system software with a market share of 95%, it becomes difficult to generate revenue while almost every PC on this planet is already running some version of Windows. The answer? High-speed internet access (MSN DSL) and video games (XBOX).
Wether by luck or by plan, Microsoft was able to hold off on their plans to become and ISP until -after- the dot-com crash, allowing Microsoft to purchase network capacity for pennies on the dollar. Coupled with Mircosoft's unequalled ability to repeat sell to their customers, MSN DSL was quick to pick up it's first batch of customers.
Since the initial launch in 2002, MSN DSL has built out it's portal to rival that of AOL, complete with it's own version of Instant Messanger, Spam-Filetered Email, and Parental Controls. Leave it to Microsoft to dominate any computer-related field it sets in its sights.

The Who's Who of SBC DSL

Written by - Jacob Lieberman, Staff Writer
So you want SBC DSL but you're looking for a bit more information? Make sure you know the company to which people are referring when they try to answer your questions. SBC is actually a group of several companies and they have as many differences as do completely separate companies.
SBC traces its roots to the original Bell Company. It then broke off into the Southwestern Bell Company. Just a few years ago, SBC acquired Ameritech which offers service in the mid west. It also acquired Pacific Bell on the West coast and a few locations on the east. The behemoth of a company offers a service called SBC DSL however the service is provided by the underlying companies which still operate much like separate companies.
Recently Yahoo DSL was introduced which was simply a branding initiative. The underlying service is SBC DSL. When signing up for the service, your experience may be quite different depending on which region you are in. When reading message boards or consumer group's comments on SBC DSL, just make sure you know which region the person is talking about and don't take their comments too seriously if they're not in your region. Once again, these divisions are as different as separate companies because not too long ago they were separate companies. Also remember when reading chat boards and consumer groups that DSL service is highly dependant on your distance from the phone company so complaint people have about bandwidth may not apply to you as they could be farther from the phone company than you and therefore have a weaker signal.