Level 3 Gets More AOL Business

Expanding its relationship with a key customer, Broomfield, Colo.-based Level 3 will provide additional network services to America Online in the United States and Europe.

The new deal include: increased use of Level 3’s colocation services; the use of 10 gigabit-per-second wavelength circuits that will be integrated into AOL’s Ineternet protocol network; the purchase of metropolitan dark fiber in the United States.

Neither the financial terms nor duration of the contracts between Level 3 and the Dulles, Va., Internet service provider was disclosed.

The pacts are incremental to the managed modem services that AOL already uses Level 3 for. Some of the company’s previous business with AOL was picked up through the acquisition of Genuity.

A Level 3 spokesman was not immediately available for comment.

In a statement, the Level 3 president and COO Kevin O’Hara said, “We believe that our technically advanced backbone, cost structure and operational excellence will add significant value to AOL and its tens of millions of broadband and dial-up members in the U.S. and Europe.”

For AOL, maintaining fast, reliable networks is paramount if it’s to increase subscribers for high-speed services and applications such as music, video and other content. The company has seen competition from other ISPs and cable companies hurt its subscriber base.

News Around the Web