Qwest Communications International Inc. and AOL Time Warner have signed multi-year agreements that make Qwest the primary provider of high-speed access, dial-up access, and other network services to AOL Time Warner. Qwest will also purchase advertising across AOL Time Warner's portfolio of online, print and television outlets. Financial details of the agreement were not disclosed.
The deal calls for Dulles, Va.-based America Online, the wholly-owned subsidiary of AOL Time Warner, to purchase from the Denver-based Qwest services including DSL lines, network transport, as well as other network services in the U.S.
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In a separate agreement, Qwest Communications, through KPNQwest, a pan-European IP data communications and hosting company, will provide AOL with macro-capacity bandwidth for delivering content and multimedia services to its European customers.
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"We are extremely pleased that AOL Time Warner has decided to use Qwest's 113,000-mile broadband network to help support the delivery of services to America Online's members," said Joel Arnold, Qwest executive vice president of global business markets. "By expanding our existing relationship, Qwest will also reach more customers through AOL Time Warner's electronic and print media channels."
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The wholesale network and DSL agreements extend a January 1999 relationship between Qwest and AOL in which Qwest delivered to AOL high-speed connectivity, private line and co-location services, as well as additional bandwidth to allow AOL to serve more customers.
"We are pleased to extend and expand our successful relationship with Qwest, supporting our continued strategy of providing easy and reliable access to the AOL service for consumers through a variety of platforms," said Bob Pittman, co-chief operating officer of New York-based AOL Time Warner."
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Qwest, AOL Agree on Network Deal