Level 3 extends its Latin American reach

Level 3 Communications (NASDAQ: LVLT) continues to see a strong demand for communications services in Latin America and it believes the best way to address that growth is by establishing a partnership with submarine cable provider Globenet.

Through this new partnership, Level 3 will package its high-speed Internet protocol (HSIP) services with GlobeNet's subsea cable capacity on network routes between South America and North America. In turn, GlobeNet will offer its subsea cable capacity with Level 3's HSIP services.

As incumbent players (TELMEX and America Movil) and emerging foreign competitors (Vivendi and Telefonica) ramp up their respective wireline and wireless 3G/4G, there's a growing demand for alternative network capacity providers to connect the dots not only from Latin America into the U.S., but also from the U.S. into Europe and Asia. However, Latin America-based competitive service providers have had little choice but to use one of the region's three cable systems, so the Level 3/GlobeNet alliance could help give carriers that new connectivity option.

For more:
- see the release here

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