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PSINet Acquires Brazilian ISPs

PSINet Inc. entered the Latin American market Monday with the acquisition of two privately-held Brazilian Internet providers. PSINet said the deal will make it one of Brazil's top five ISPs.

PSINet purchased Openlink, the largest ISP in Rio de Janeiro, which serves both businesses and consumers with dedicated and dial-up connectivity and Web hosting solutions. The company also purchased Horizontes Internet, an ISP in the Brazilian state Minas Gerais.

Terms of the deal were not disclosed.

Harold S. Willis, PSINet's president and chief operating officer, said Brazil will play a strategic role in the company's expansion plans.

"Our growth strategy will soon place PSINet as one of the top three business-focused ISPs in each of the top 20 global markets and acquiring the best ISPs with experienced local management is the fastest way to achieve that goal. We expect the Internet growth rate in Latin America to outpace every other continent," he said.

Once the acquisitions are integrated into PSI, the two companies customers will be able to access all of PSINet's services, including electronic commerce, security services, Web hosting, global roaming, intranet, Internet faxing and voice-over-IP.