InformationWeek
Defining The Business Value Of Technology
September 20, 1999
AT&T's Goal: Fast Access
Carrier to expand DSL, Web hosting
By Bob Wallace
By the end of next year, AT&T expects to have 2,000 DSL network entry points available for remote offices, remote workers, and homes in 100 markets. AT&T's DSL speeds start at 128 Kbps.
AT&T also says it will begin trials of a cable Internet service in parts of Chicago; Dallas; Denver; Portland, Ore.; San Francisco; and Seattle in the fourth quarter. General availability of the service is slated for the first half of next year.
AT&T says it will build as many as 26 Internet data centers linked to its high-speed backbone network to become a bigger player in Web hosting. The carrier plans to double the size of its data centers in New York, San Diego, and San Francisco this year, and to have seven new ones online by the end of next year.
Some users are very interested in high-speed broadband pipes. "We'd love to be able to provide our guests with big bandwidth connections back to their corporate headquarters using DSL," says Russ Ketchum, information systems director at the Four Seasons Hotel in Las Vegas. "Lots of customers are looking for higher-speed access, and we certainly don't plan to place any limits on what guests can do technology-wise."
To catch up with market leaders, including Qwest Communications International, US West, and MCI WorldCom's UUnet unit, AT&T plans to resell DSL services from Covad Communications Co. and Rhythms NetConnections Inc. AT&T also plans to build its own systems to deliver the service.
Pricing for AT&T's DSL service for small offices and home offices will range from $59 to $79 a month, with download speeds of 384 Kbps to 768 Kbps. Service for remote offices and small businesses will be priced at $149 to $469 a month, with download speeds from 144 Kbps to 1.5 Mbps.
An option in which AT&T provides equipment and management support will be priced at an additional $50 a month.
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T&T last week began offering digital subscriber line service in 17 markets to provide users with faster connections to their company networks. The carrier also unveiled plans to greatly expand its Web-hosting operations.
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