Mpower Communications Trials Lucent Technologies' PathStar To Deliver IP-Based Broadband Communications
ROCHESTER, NY -- April 18, 2000 -- Mpower Communications (NASDAQ: MPWR), a leading provider of broadband data, Internet and telephony services to business customers, today announced it has launched a field trial to carry live voice and data traffic using the PathStar™ Access Server from Lucent Technologies (NYSE: LU). This strategic trial is the next step in Mpower's plan to build an end-to-end Internet Protocol (IP) network for Voice-over-DSL (Digital Subscriber Line), data and high-speed Internet access.
Within the next 90 days, Mpower expects to have approximately 1,000 customers using services generated by the PathStar, which has been installed in Mpower's Las Vegas market. Lucent's PathStar solution is a next-generation, packet-based, converged voice and data switch for Class 5 telephony and data services. The PathStar supports E911 services and more than 80 high-demand telephony features such as Caller ID, Call Waiting, and Three-way Calling, as well as Internet access and DSL services.
Building on its early success in providing Voice-over-DSL today in all of its existing markets, Mpower is actively mapping out its migration path to an all IP network.
"Providing telephone services over IP has been the stumbling block in the transition from traditional circuit-switched to the next-generation IP packet-switched networks. There is no doubt that an IP network can offer customers more advanced data applications and services which is critical to the full-scale deployment of our Internet business services hub. Through the field test, we plan to prove that it can also offer the same quality of voice service as the traditional telephone network," said Rolla P. Huff, Mpower Communications president and CEO.
As Mpower expands its footprint nationwide, an end-to-end IP network offers a number of advantages in terms of scalability, simplicity in service delivery and cost-efficiency. PathStar, developed by Lucent's Bell Labs, has a one-of-a-kind design that reduces the amount of equipment and facilities required to deliver services over both packet networks and the PSTN (public switched telephone network) by integrating several network elements into one cost-effective platform. PathStar combines the functionality of a Digital Loop Carrier, Class 5 telephony system, Voice-over-IP gateway, announcement server and an IP edge router in one integrated product.
"Mpower clearly understands the direction the communications industry is taking and it intends to be one of the leaders in providing integrated voice and data services over DSL," said Bill Proetta, vice president and general manager for PathStar products at Lucent Technologies. "PathStar is part of the leading-edge, cost-effective solution that will help Mpower achieve its vision of offering an array of feature-rich voice, data and Internet access services."
About Mpower Communications Corp.
Mpower Communications (a/k/a MGC Communications, Inc.) is a facilities-based broadband communications provider offering a full range of data, telephony, Internet access and Web hosting services for small and medium-size business customers. The company currently operates in California, Chicago, Atlanta, Southern Florida and Las Vegas. Mpower was recently ranked 12th in the Bloomberg Tech 100 listing of the fastest growing technology companies in the United States based on sales growth for the 1999 fiscal year. Further information about the company can be found at http://www.mpowercom.com.
About Lucent Technologies
According to a recent study by New Paradigm Resources Group, Lucent is the leading provider of wide area networking equipment to CLECs in the United States.
Lucent Technologies, headquartered in Murray Hill, N.J., USA, designs and delivers the systems, software, silicon and services for next-generation communications networks for service providers and enterprises. Backed by the research and development of Bell Labs, Lucent focuses on high-growth areas such as optical and wireless networks; Internet infrastructure; communications software; communications semiconductors and optoelectronics; Web-based enterprise solutions that link private and public networks; and professional network design and consulting services. For more information on Lucent Technologies, visit its Web site at http://www.lucent.com.
Forward Looking Statements. Certain statements contained in this Press Release that state the Company's or management's intentions, expectations or predictions of the future are forward-looking statements. Management wishes to caution the reader these forward-looking statements that are not historical facts, are only estimates or predictions. Actual results may differ materially as a result of risks facing the Company or actual results differing from assumptions underlying such statements. Such risks and assumptions include, but are not limited to, the Company's ability to successfully implement and market its proposed services to current and new customers in existing and planned markets, access markets, install switches and obtain suitable locations for its switches, negotiate suitable interconnect agreements with the ILECs, obtain an acceptable level of cooperation from the ILECs, all in a timely manner, at reasonable cost and on satisfactory terms and conditions, as well as competitive, regulatory, legislative and judicial developments that could materially affect the Company's future results. Additional information concerning factors that could cause actual results to differ materially from those expressed or implied in the forward-looking statements is contained from time to time in the Company's SEC filings, including but not limited to the Company's report on Form 10-K for the year ended December 31, 1998. Copies of this filing may be obtained by contacting the Company or the SEC.
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