TW Telecom Takes Its IP VPN Global

August 12th, 2009 by · 2 Comments

Alongside their earnings report, TW Telecom (NASDAQ:TWTC, news, filings) announced the expansion of their IP VPN to 64 countries around the world.  The company has traditionally focused on those with a regional presence, but as the world becomes interconnected more and more of their potential customers have needs that cross international boundaries.  This new effort will help them serve those of their current customers with international offices better.  Since TW Telecom doesn't have much in the way of international facilities, I wonder who they are partnering with for this.

The announcement caught my eye because one rarely sees TW Telecom talk much about anything beyond the USA.  They have always been a highly focused company, one that eschews talk of grand visions in favor of steady progress and internal development.  That has been especially true since the Xspedius acquisition and the integration of the network at all levels.  To hear the company now looking overseas, even simply in terms of serving its US customer base better, is something of a change in the weather.

If TW Telecom is shifting from an introspective stance to an expansionist one, I say it's about time.  They have put together a platform and business model that works, that generates both profits and enough cash flow to fund its own organic expansion.  But that platform would work well for inorganic expansion too, and while I have always seen them taking out XO Holdings (news, filings) someday, I have generally dismissed the idea of them merging with someone with an international corporate market presence like glbc.  Perhaps I should re-evaluate that position...

If you haven't already, please take our Reader Survey! Just 3 questions to help us better understand who is reading Telecom Ramblings so we can serve you better!

Categories: CLEC · Metro fiber

Join the Discussion!

2 Comments So Far


  • Willie8765 says:

    A large percentage of TW Telecom’s revenue comes from Enterprise sales. I think that they needed a way to address international opportunities that their Enterprise teams originated. In the past those sales teams were probably not even bidding on the international portions of the deals. Now they have a way to lock up that revenue. It’s a good idea.

  • Telecom101 says:

    I’m with you Rob. I see tw somehow someway getting the XO nationwide backbone. If they can’t….what other expansion/acquisition makes sense???? Global? Can you imagine the power of a strong U.S. Metro fiber network coupled with an international network?!

    As the US ILEC’s abandon enterprise businesses for their wireless and residential customers they’re expanding globally. It’s clear where the fit will be for companies like tw.

    Due to so many speculations (as we all have witnessed) I’m not buying it yet…but it’s an interesting twist on organic growth. “Make it or Buy it” will be the question….Throw the dice.

Leave a Comment

You may Log In to post a comment, or fill in the form to post anonymously.





  • Ramblings’ Jobs

    Post a Job - Just $99/30days
  • Event Calendar