AT&T Canada Merges All Internet Businesses

AT&T Canada Inc. has new designs for its Internet properties.

The leading facilities-based telco and Net company will purchase the 49 percent minority stake of Netcom Canada which it doesn’t own, creating a wholly-owned subsidiary which it will merge with its other Canadian Internet businesses.

The recently-acquired Microsoft Network Services customers in Canada will also be included in the shuffle.

The new group, composed of the Internet divisions of AT&T Canada, Netcom Canada, MetroNet and ACC TelEnterprises, will be integrated into a business-focused Internet and e-business company, leveraging AT&T Canada’s local and intercity fiber optic networks and distribution channels.

“This business combination will provide us with cost and quality advantages only enjoyed by facilities-based providers,” said Ron Close, president of the new business unit.

“We now offer one of the most robust suites of Internet and e-business services across the country, sold through one of the largest and most effective sales forces. Furthermore, our focused structure and organization allows us to execute well and to move rapidly in this fast-paced market.”

The separate business unit has been established and the acquisition of the remainder of Netcom is expected to close Q1 next year.

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