What is qwest communications




















Qwest, in turn, would use the Microsoft Windows NT Server OS as the basis of its electronic commerce, Web hosting, streaming media, managed software, and virtual private networking services to be introduced in As part of its national fiber network, Qwest had completed local fiber optic rings in 10 cities in , and planned to add nine more by The company's Seattle ring ran through Microsoft's Redmond, Washington, campus, giving Qwest the ability to provide broadband connectivity directly to Microsoft.

In exchange, Covad provided Qwest customers with high-speed digital subscriber line DSL service in 22 markets. Covad also agreed to purchase network capacity from Qwest to interconnect its high-speed local networks.

It was Qwest's first investment in DSL local networks. Qwest also announced it would offer paging, conferencing, and faxing services from its Web site.

In a move to increase its bandwidth, America Online Inc. Qwest's first national branding campaign, created by advertising firm J. Walter Thompson, was launched in March The second television ads opened with a voiceover that said, 'The promise of the Internet is not in the future. It is now.

Also in March, Microsoft and Qwest teamed to introduce Q-Commerce-Retail, an online storefront service that included Web hosting services, high-speed Internet access, hardware and software, consulting, design and graphics, direct merchandising assistance, and site promotion.

The applications ran on Windows software and were hosted on servers on Qwest's network. The agreement involved 31 cities, with some overlap with the 22 cities serviced under Qwest's agreement with Covad Communications. Also in April, Bell South Corp. The investment would enable BellSouth to bolster its digital data services and use Qwest as its wholesale provider, while Qwest would use BellSouth for local service where possible.

The funds also enabled Qwest to reduce the debt it took on for overseas expansion, and helped the company finance construction on the rest of its fiber-optic network. Nacchio would remain as CEO and focus on overall corporate performance, development, and long-term strategies. Prior to the change, had most recently been the president and managing director of U. ART , which was in the process of building a high-speed wireless network. ART planned to build in 40 of the top 50 U.

By May , Qwest had completed 16, miles of its planned 18,mile fiber-optic network. It was planning to introduce more hosted applications, including electronic commerce services that would allow a company to completely outsource its Web sales operations.

Solutions, a joint application service provider ASP in which Qwest would own 51 percent. The ASP would offer application hosting and application management services. Also, Qwest and Cisco Systems announced a partnership under which they would co-develop applications for Internet-based data, phone, and image services to be sold to businesses and consumers. Rumors soon surfaced that Qwest might be a long-term acquisition target for BellSouth, which had a 10 percent interest in the company.

Wall Street reacted to the announcement by driving Qwest's stock down more than 20 percent. As part of the purchase, Qwest agreed to forego providing long-distance service in US West's territory. Qwest's acquisition of US West also had the effect of diluting BellSouth's interest in the new company from 10 percent to about 3.

By the summer of , Qwest had about 8, employees, while US West had 55, employees. The acquisition not only gave Qwest a huge workforce, but also 25 million US West local phone customers in 14 western states. Qwest's acquisition of US West had to pass several regulatory hurdles, including approval from the U. Qwest continued to offer new services, enter into new partnerships, and strengthen existing ones in the latter half of Together with Microsoft it announced the Qwest Business Partner Program, which would offer a wide range of Internet services using the Windows platform as well as other platforms.

To strengthen its application service provider ASP program, Qwest added revenue-sharing incentives to attract national systems integrators and distributors and increase the number of participants from to 1, during One of the applications it would introduce in was a practice management application for small doctors' offices.

Meanwhile, the US West acquisition received approval from the U. Shareholders of both companies approved the merger in November. State public service commissions were expected to bring up US West's poor service record during hearings on the merger over the next six months.

Qwest completed its national fiber-optic network with 18, route miles in September In December it added 4, route miles in Canada and Mexico. In the first two months of the company experienced service problems due to the rapid expansion of its customer base, including frame relay service slowdowns and circuit outages lasting up to 11 days. Several developments in the US West acquisition occurred in March The FCC gave its approval, but six state public service commissions had yet to rule on the merger following Colorado's approval in Qwest announced that talks with Deutsche Telekom would not continue, however, following objections from US West.

In April Qwest announced a new development in its CyberCenter program. The company joined forces with IBM to open 28 CyberCenters, which would provide end-to-end control of applications, services, and network infrastructures in a hosted environment.

Qwest would build and own the centers and act as the network provider, while IBM would provide operational support and buy hosting space for its e-commerce clients. In addition, Qwest was in the process of selling part of its long-distance business to Touch America, a subsidiary of the Montana Power Co.

Under federal rules Qwest would not be able to offer long-distance service within states served by US West. About , Qwest subscribers, 1, miles of fiber, and Qwest sales agents were involved in the transaction. By July, the merger with US West had received approval from the state public service commissions and was a 'done' deal.

In many cases, state approval was gained by agreeing to negotiate new service quality standards. The new company would lose the US West name and continue using the Qwest name. Qwest immediately held a meeting for about 10, employees at the Pepsi Center in Denver, where it announced that it was dropping some 17 lawsuits US West had brought against various state public utility commissions.

Altogether, the merged companies had about 70, employees worldwide. Later in the year Qwest announced it would streamline its workforce by cutting about 11, employee positions and 1, contractor positions by the end of With the acquisition of US West completed, Qwest announced it would make quality of service its top priority for the local telephone customers it had gained. Other announced goals included doubling its DSL users from , to ,; doubling the number of wireless users from , to 1.

The company also planned to improve access to its network in order to be able to re-enter the long-distance market again in the 14 western states formerly served by US West. James Press, We are investigating and will be back up and running soon. For an optimal experience, we recommend updating your browser.

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