• Despite bankruptcies and a slow economy, competitive telecom providers continue to increase their market presence, according to the latest Federal Communications Commission statistics (see report - 911k in PDF). Competitive local exchange carrier access lines grew 10% in the first half of 2002, from 19.7 million to 21.6 million.
As of June 30, CLECs provided about 11.4% of the 189 million total switched access lines in the U.S. Slightly more than half of the CLEC lines serve residential and small business customers, compared with more than 75% of the incumbent local exchange carrier lines.
According to the report, CLECs rely heavily on unbundled network elements to provide services to end users. Only 21% of the CLEC lines were resold from other carriers, while 50% of the lines relied on the purchase of UNEs from the incumbent carriers. The remaining 29% of the lines were carried over the CLECs' own facilities.
• Broadwing Communications is getting a cash infusion of $200 million from Goldman Sachs that the carrier will use to reduce its debt load. Broadwing announced the loan last week. The service provider is carrying $1.6 billion in debt, according to its third-quarter financials statement filed with the Securities and Exchange Commission in November. At that time, Broadwing also announced it was reducing its staff by 25% and exiting the international voice-services business. These cost-cutting measures and others are expected to save Broadwing $200 million annually, according to the carrier.
• Broadband service provider DSL.net signed an agreement with New Edge Networks last week that lets DSL.net serve customers through New Edge central offices. DSL.net delivers high-speed access to business customers across the country through its own facilities and its partners' facilities. DSL.net's other partners include Covad Communications and Allegiance Telecom.
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