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Sprint changes ION local-loop emphasis

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Sprint today said it has changed its strategy for securing local-loop access for its Integrated On-Demand Network (ION).

First announced last June, ION is designed to consolidate communications over a single network through service offerings that include Sprint ION for frame relay, ATM, voice and Internet services.

Sprint, traditionally a long-distance carrier, had planned to gain access to the so-called "last mile" to customers' buildings by partnering with local telecommunications companies and only secondarily concentrating on building its own digital subscriber line (DSL) network.

However, the company now says it will emphasize building its own DSL networks rather than striking deals with local telcos. Sprint will continue to seek out partnerships with local telcos but will look more to itself for getting last-mile access, according to Lloyd Karnes, a spokesman for the company.

Based on Sprint's Dec. 7 announcement, some observers had questioned whether Sprint's proposed reliance on local-loop partnerships was overly optimistic. Karnes said that Sprint had recrunched the numbers and made its decision on the basis of cost.

"In most cases we think we'll be able to take this alternative and be less expensive overall in the long run. If we can work out a deal with an RBOC or an ILEC that is more cost-effective than us putting our own facility in, then we would certainly go that route but we wanted to have our (network) in place to give us this option." Karnes said.

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