Lumos Networks Announces Data Center Connectivity Expansion Strategy
Lumos Networks Corp. (“Lumos Networks” or “the Company”) (Nasdaq:LMOS),
a fiber-based service provider of data, voice and IP-based
telecommunication services in the Mid-Atlantic region, today announced...
Lumos Networks Corp. (“Lumos Networks” or “the Company”) (Nasdaq:LMOS), a fiber-based service provider of data, voice and IP-based telecommunication services in the Mid-Atlantic region, today announced plans to extend high capacity wavelength connectivity to six additional data centers during the first half of 2014. This will increase the number of data centers connected to the Lumos fiber network from 12 to 18. Currently, it is estimated that there are about 80 data centers in Lumos Networks’ fiber footprint. A Bell Labs white paper published in 2013 estimated that total data center traffic, including data center to user and from data center to interconnect, will increase 440% from 2012-2017. The paper also estimated that the number of data centers in metro networks will increase 60% over the same time period. “I am pleased to announce our plans to connect our fiber network to an additional six data centers over the next few months,” said Tim Biltz, President and CEO of the Company. “Our large Enterprise and Carrier customers are tasking us to provide world-class wavelength connectivity to key data centers in our footprint. Beginning with our first quarter of 2014 results, we plan to update the financial markets quarterly with our revised number of data center connections. Additionally, during 2014, we expect to provide a long-term target for total data center connections.” Joseph McCourt, Chief Revenue Officer at Lumos Networks, commented, “As we look towards the second half of 2014 and into 2015, we are going to aggressively work to extend high speed wavelength connectivity into an increasing number of data centers in order to meet our customer demands for bandwidth. We expect that data center connectivity will be a key driver for our overall Ethernet/wavelength growth strategy.” About Lumos Networks Lumos Networks is a fiber-based service provider in the Mid-Atlantic region serving carrier, business and residential customers over a dense fiber network offering data, voice and IP services. With headquarters in Waynesboro, VA, Lumos Networks serves Virginia, West Virginia and portions of Pennsylvania, Kentucky, Ohio, and Maryland over a fiber network of 7,414 fiber route miles. Detailed information about Lumos Networks is available at www.lumosnetworks.com. SPECIAL NOTE FROM THE COMPANY REGARDING FORWARD-LOOKING STATEMENTS Any statements contained in this news release that are not statements of historical fact, including statements about our beliefs and expectations, are forward-looking statements and should be evaluated as such. The words “anticipates,” “believes,” “expects,” “intends,” “plans,” “estimates,” “targets,” “projects,” “should,” “may,” “will” and similar words and expressions are intended to identify forward-looking statements. Such forward-looking statements reflect, among other things, our current expectations, plans and strategies, and anticipated financial results, all of which are subject to known and unknown risks, uncertainties and factors that may cause our actual results to differ materially from those expressed or implied by these forward-looking statements. Many of these risks are beyond our ability to control or predict. Because of these risks, uncertainties and assumptions, you should not place undue reliance on these forward-looking statements. Furthermore, forward-looking statements speak only as of the date they are made. We do not undertake any obligation to update or review any forward-looking information, whether as a result of new information, future events or otherwise. Important factors with respect to any such forward-looking statements, including certain risks and uncertainties that could cause actual results to differ from those contained in the forward-looking statements, include, but are not limited to: rapid development and intense competition in the telecommunications and high speed data transport industry; our ability to offset expected revenue declines in legacy voice and access products related to the recent regulatory actions, wireless substitution, technology changes and other factors; our ability to effectively allocate capital and implement our “edge-out” expansion plans in a timely manner; our ability to complete customer installations in a timely manner; adverse economic conditions; operating and financial restrictions imposed by our senior credit facility; our cash and capital requirements; declining prices for our services; our ability to maintain and enhance our network; the potential to experience a high rate of customer turnover; federal and state regulatory fees, requirements and developments; our reliance on certain suppliers and vendors; and other unforeseen difficulties that may occur. These risks and uncertainties are not intended to represent a complete list of all risks and uncertainties inherent in our business, and should be read in conjunction with the more detailed cautionary statements and risk factors included in our SEC filings, including our Annual Reports filed on Forms 10-K and our Quarterly Reports filed on Forms 10-Q.