Level3 goes to the feds for $20M
BROOMFIELD, Colo. – (Business Wire) Level 3 Communications, Inc. (NASDAQ: LVLT) has applied for federal stimulus funding to expand broadband access under the American Recovery and Reinvestment Act. The applications propose $15 million in grant funding and an additional $5 million in Level 3 matching funds to create new access points or “middle mile” connections to the Level 3 network in more than 50 rural markets in six states.
“Level 3 is excited about the opportunity to provide the building blocks to expand affordable, open access to the global Internet,” said Sureel Choksi, chief marketing officer for Level 3. “The Level 3 nationwide network travels through many of the un-served and underserved communities targeted for improved broadband, positioning Level 3 to play a crucial role in expanding broadband access now and into the future.”
Level 3 would use grant funding and its own capital to deploy new equipment in existing buildings located on the Level 3 network in rural areas. The additional equipment would create middle mile connections to the Level 3 network between major metropolitan markets for more efficient delivery of Internet, voice, data and video services to local or “last mile” providers, including telephone, cable and wireless companies, as well as governments and educational institutions.
The addition of middle mile connections to a neutral carrier such as Level 3 offers an alternative to incumbent providers and establishes a platform for future competition, innovation and growth. Direct network access in rural areas also creates economic efficiencies to deliver a greater range of services and network redundancy – often a requirement for the expansion of local businesses.
For more information about the Level 3 network footprint and communities targeted for middle mile access, visit www.Level3.com/Stimulus.
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