WorldCom plans to connect its global IP network to Hughes Network Systems satellites to provide broadband services for business customers throughout the United States. The deal allows WorldCom to deliver two-way broadband service in metropolitan, suburban and even the most remote geographic areas, where fast Internet connections, like DSL, are limited or unavailable. Financial terms of the deal were not disclosed.

Known as WorldCom Internet VSAT (very small aperture terminal), WorldCom is the first major data services provider to offer broadband satellite service. Within the next two years, DirecTV, a subsidiary of Hughes Electronics, plans to offer satellite broadband as part of its pay TV package.

Similar to a satellite TV system, WorldCom's Internet VSAT uses small, oval satellite dishes to send and receive information. With downstream information rates of up to 1 Mbps, WorldCom Internet VSAT allows remote users to utilize advanced business applications such as multi-casting, data-casting and interactive services, with remote access to IP VPNs, intranets and extranets.

Priced comparably to DSL connections, WorldCom Internet VSAT is an "always on"' service that does not require the installation of landline connections. The installation and performance of this solution is assured with service level agreement (SLA) guarantees.

"WorldCom Internet VSAT is the new broadband access solution for businesses of all sizes, offering immediate primary connectivity and business continuity for reliable network back-up services, in any location," said Ralph Montfort, director of WorldCom Internet Services. "Adding VSAT to our existing DSL and dedicated access offerings, plus our new Gigabit Ethernet and OC-48 services, gives WorldCom the unique ability to give our customers exactly what they want and need -- individually tailored access solutions based on their business applications, network architecture, geography and budgetary requirements."

Hughes Network Systems, also a unit of Hughes Electronics, is the world's largest provider of broadband satellite network service for businesses and consumers, with over 400,000 systems installed in more than 85 countries. HNS pioneered the development of high-speed satellite Internet access services, which it markets globally as DirecPC and Direcway. HNS is also a leading manufacturer of the DirecTV. Headquartered in Germantown, Md., earnings of Hughes, a unit of General Motors Corp., are used to calculate the earnings per share attributable to the General Motors Class H common stock.

WorldCom Group operates in more than 65 countries with annualized revenues of more than $20 billion.

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