Cogent Acquires Fiber Network Solutions

Cogent acquires the Internet service business, as well as five colocation facilities, of Fiber Network Solutions Inc.

February 28, 2003

1 Min Read

WASHINGTON -- Cogent Communications Group, Inc. (AMEX: COI), a Tier One, next-generation optical Internet Service Provider, announced today that it has acquired the Internet service business of Fiber Network Solutions, Inc. (FNSI). FNSI is a major Internet access and colocation service provider that is privately held and headquartered in Columbus, Ohio. FNSI provides Internet service to businesses located in Ohio, Michigan and Pennsylvania. As part of the deal, Cogent also acquired five colocation facilities including those located in Columbus, Pittsburgh, PA and Detroit, MI. Cogent is expecting to complete the migration of all FNSI customers onto Cogent’s all optical IP backbone by 6:00 a.m., EST this morning. All of the 400-plus former FNSI customers now enjoy a superior level of performance and reliability through Cogent’s non-oversubscribed, 80 Gigabits per second (Gbps) nationwide backbone designed and built exclusively for Internet data traffic. “Two factors combined to make this acquisition very attractive and almost immediately accretive for Cogent. One, migrating FNSI customers onto the Cogent-owned and operated backbone enables us to eliminate the high costs associated with FNSI’s leased network backbone. And two, streamlining staff and eliminating redundant infrastructure significantly reduces the overhead,” said Helen Lee, Chief Financial Officer for Cogent Communications. “The economies of scale created by owning an all-optical, DWDM network end-to-end cannot be matched by any other ISP today.” Cogent Communications Group Inc.

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