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PSINet, NEXTLINK Ink Pact

Internet service provider PSINet Inc. Monday announced a private services agreement with telco NEXTLINK Communications Inc.

PSINet's carrier and ISP services division will expand NEXTLINK's existing business communications to include a suite of Internet connectivity and value-added services. The Internet services will be available in NEXTLINK's markets in 1999. Financial agreements were not disclosed.

PSINet's private-label program, also known as the "virtual ISP program," offers turnkey Internet solutions for ISPs and telcos venturing into new markets or expanding market positions. The program uses PSINet's Internet Protocol (IP) international backbone and other Internet products and technical support, allowing carriers to offer PSINet's high- speed Internet products and services under companies' own labels. That allows companies to offer services under their own brand without making investments in infrastructure, engineering and technical support needed to build their own networks.

Bellevue, Wash.-based NEXTLINK presently operates 19 facilities-based networks offering local and long distance services to business customers in 33 markets in 11 states. The company was formed in 1994 by Craig McCaw.

"NEXTLINK and PSINet share a heritage of innovation and focus on customer needs and we look forward to jointly creating new Internet capabilities that will complement NEXTLINK's existing family of business-grade telecommunication services," said John Kraft, vice president of carrier and ISP Services for PSINet Inc.

"PSINet's turnkey Internet solutions reduce a carrier's time to market -- typically 45 days or less for full-scale Internet services and support."

"By reaching this agreement for a NEXTLINK branded Business Internet Service, we now have the ability to provide the No. 1 requested data service by NEXTLINK's small to medium-sized business customers," said George Tronsrue, NEXTLINK president and chief operating officer.

"We are very confident that PSINet will provide NEXTLINK the outstanding network service, quality and unique customer support that our customers have grown accustomed to receiving."