Level 3 and Convergys Form Alliance to Enable IP-Based E-Business and Communications Services Convergys to Integrate Business Support Systems with Level 3 Services to Give ISPs, ASPs and Other Service Providers Cost, Time-to-Market and Operational Advantages
BROOMFIELD, COLO., January 18, 2000 – Level 3 Communications, Inc. (Nasdaq:LVLT), today announced it has formed an alliance with Convergys Corporation (NYSE:CVG) a leading provider of outsourced business support systems (BSS). Convergys will integrate Level 3's IP network services and Convergys' business support system to create bundled solutions that give Internet service providers (ISPs), application service providers (ASPs), IP voice and other Web-centric companies significant cost, time-to-market and operational advantages.
Under terms of the agreement, Convergys will integrate its billing and customer care infrastructure with Level 3's global, Softswitch-enabled IP network. Additionally, Convergys will be able to distribute an array of Level 3 products, including dedicated Internet access, managed modem, IP CrossRoads, colocation and (3)Voice services, bundled with Convergys' solutions. The new integrated services will afford businesses the opportunity to leverage the economic benefits of IP technology and outsourced billing and customer care services to drive down their capital and operating expenses, rapidly take advantage of market opportunities, and focus on growth. Convergys expects to launch the bundled services in the first quarter of 2000. "This agreement expands our growing distribution channels and represents another important step in our ongoing strategy to enable IP-based e-business and communications services," said Tom Sweeney, senior vice president of strategic alliances for
Level 3. "The combined offering of our network products and Convergys' billing and customer care services will allow Web-centric companies to focus on their customers and service offerings rather than back office functions."
The new bundled services will provide a comprehensive network and BSS infrastructure that will give e-business and communications service providers the ability to efficiently bill, manage and deliver advanced services such as streaming media, remote data storage, Web site hosting, pay-per-use software and unified messaging. "Bundling Level 3's network products and services with our world-class billing and customer care systems allows Convergys to provide the first highly scalable, comprehensive network and BSS infrastructure," said Bob Marino, president and chief executive officer of Convergys' Information Management Group. "This alliance extends our global reach and underscores our commitment to use IP technology and our unrivaled billing and customer care expertise to help facilitate the evolution and growth of new markets."
"The delivery of business software applications is undergoing nothing less than a revolution and is moving toward Web-based, remote access and usage-based pricing," added Sweeney. "This requires that customers have cost-efficient, high-speed access to their applications and data. This fact makes Level 3 and Convergys an excellent choice for companies serving Web-based markets."
(* Softswitches are advanced software based switching systems, which enable Level 3 to provide services combining the best features of the Internet and traditional telephone networks.)
About Level 3 Communications
Level 3 Communications, Inc. (NASDAQ: LVLT), an international communications company, operates one of the largest Internet backbones in the world, connecting 180 markets in 18 countries. The company serves a broad range of wholesale, enterprise and content customers with a comprehensive suite of services including: Internet Protocol (IP) services, broadband transport and infrastructure services, colocation services, voice and voice over IP services, content delivery and media distribution services. These services provide the building blocks to enable Level 3’s customers to meet their growing demands for advanced communications solutions. The company’s Web address is www.Level3.com.
"Level 3 Communications,” "Level 3," the red 3D brackets and the Level 3 Communications logo are registered service marks of Level 3 Communications, LLC in the United States and/or other countries. Level 3 services are provided by wholly owned subsidiaries of Level 3 Communications, Inc. Any other service, product or company names recited herein may be trademarks or service marks of their respective owners.
Forward-Looking Statement
Some of the statements that we make in this press release are forward looking in nature. These statements are based on management’s current expectations or beliefs. These forward looking statements are not a guarantee of performance and are subject to a number of uncertainties and other factors, many of which are outside our control, which could cause actual events to differ materially from those expressed or implied by the statements. The most important factors that could prevent us from achieving our stated goals include, but are not limited to our ability to: successfully integrate acquisitions; increase the volume of traffic on our network; defend our intellectual property and proprietary rights; develop new products and services that meet customer demands and generate acceptable margins; successfully complete commercial testing of new technology and information systems to support new products and services; attract and retain qualified management and other personnel; and meet all of the terms and conditions of our debt obligations. Additional information concerning these and other important factors can be found within Level 3’s filings with the Securities and Exchange Commission. Statements in this press release should be evaluated in light of these important factors. Level 3 is under no obligation to, and expressly disclaims any such obligation to, update or alter its forward-looking statements, whether as a result of new information, future events, or otherwise.
