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Level 3 to Provide Internet Backbone Services to Hughes Network Systems

Posted on: Tuesday, 9 September 2003, 06:00 CDT

BROOMFIELD, Colo., Sept. 9 /PRNewswire-FirstCall/ -- Level 3 Communications, Inc. today announced it has signed a customer agreement with Hughes Network Systems (HNS) to provide interconnect services to the public Internet for SPACEWAY(TM), its next generation satellite platform, launching service in 2004.

Under the terms of the contract, HNS is purchasing (3)CrossRoads Internet access and (3)Center Colocation services from Level 3 in the U.S. The services include connectivity directly to the public Internet for SPACEWAY managed traffic and access to a high-speed terrestrial backbone for operational related information. In addition, HNS plans to colocate several antennas directly on Level 3's backbone, thereby eliminating costly local loop infrastructure and optimizing the performance of its service.

"We chose Level 3 because the company's facilities and IP services enable us to seamlessly and reliably connect to the public Internet, and to integrate with other land-based local and wide area networks," said Mike Cook, senior vice president and general manager of SPACEWAY for HNS.

"HNS has a reputation for providing high-quality, reliable satellite communications services to businesses worldwide," said Kevin O'Hara, president and chief operating officer for Level 3. "We look forward to supporting HNS as the company continues to provide its customers with the superior broadband satellite communications services that they've come to expect."

Level 3 operates a 10-gigabit IP backbone that spans 62 U.S. markets and 16 European markets, and is accessible from more than 550 traffic aggregation points. High capacity, scalable peering interconnections, and ongoing upgradeability help to ensure that the Level 3 network maintains uncongested connectivity to the world's largest Internet networks.

Additionally, Level 3 is one of the largest providers of colocation space in the world, operating more than 70 carrier-neutral data center facilities in 66 markets in the U.S. and Europe. Colocation customers in most major cities can access 8 to 10 other network providers in each Level 3 facility.

About Level 3 Communications

Level 3 is an international communications and information services company. The company operates one of the largest Internet backbones in the world, is one of the largest providers of wholesale dial-up service to ISPs in North America and is the primary provider of Internet connectivity for millions of broadband subscribers, through its cable and DSL partners. The company offers a wide range of communications services over its 22,500 mile broadband fiber optic network including Internet Protocol (IP) services, broadband transport and infrastructure services, colocation services, and patented Softswitch managed modem and voice services. Its Web address is www.Level3.com.

The company offers information services through its subsidiaries, (i)Structure and Software Spectrum. For additional information, visit their respective Web sites at http://www.softwarespectrum.com/ and http://www.i-structure.com/.

About Hughes Network Systems

Hughes Network Systems, Inc. (HNS), a wholly owned subsidiary of Hughes Electronics Corporation (HUGHES), is the world's leading provider of broadband satellite network solutions for businesses and consumers, with more than 500,000 systems ordered or shipped to customers in 85 countries. HNS pioneered the development of high-speed satellite Internet access services, which it markets globally under the DIRECWAY(R) brand. In addition, HNS is a leading manufacturer of DIRECTV(R) satellite television receivers, having shipped more than 12 million to date.

Scheduled for service launch in 2004, SPACEWAY will provide full-mesh connectivity for efficient delivery of high-bandwidth services. In addition to its unique peer-to-peer architecture, SPACEWAY incorporates many other advanced features-such as packet switching, spot beams, and bandwidth-on- demand. It operates in the Ka-band and is expected to open up a wealth of opportunities for delivering high-speed multimedia services to North American enterprises.

Headquartered outside Washington, D.C., in Germantown, Maryland, USA, HNS maintains sales and support offices worldwide. The earnings of HUGHES, a unit of General Motors Corporation, are used to calculate the earnings attributable to the General Motors Class H common stock . To learn more about HNS, please visit www.hns.com.

HUGHES, Hughes Network Systems, and DIRECWAY are trademarks of Hughes Electronics Corporation. DIRECTV is a registered trademark of DIRECTV, Inc.

(3)CrossRoads and (3)Center Colocation are service marks of Level 3 Communications, Inc.

Forward-Looking Statement

Some of the statements made by Level 3 in this press release are forward-looking in nature. Actual results may differ materially from those projected in forward-looking statements. Level 3 believes that its primary risk factors include, but are not limited to: changes in the overall economy relating to, among other things, the September 11 attacks and subsequent events, substantial capital requirements; development of effective internal processes and systems; the ability to attract and retain high quality employees; technology; the number and size of competitors in its markets; law and regulatory policy; and the mix of products and services offered in the company's target markets. 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 release should be evaluated in light of these important factors.