Time to catch up on the bits of news that got past my radar or left me otherwise speechless:
Alongside yesterday’s earnings report, PAETEC (news, filings) announced its intention to build a new datacenter facility in McLean, VA as part of its efforts to offer cloud-based services to the enterprise. An existing three story, 62,500 square foot facility will be converted over the next seven months, resulting in 49,000 square feet of raised floor space by New Year’s.
Out west, 360Networks continued its momentum on the IP transit front, adding Northland Communications as a customer. Northland operates cable systems in seven states, but in this case we’re talking about Moses Lake, WA. 360Networks was until recently known for wholesale VoIP and transport, but has expanded that product set to include IP and Ethernet.
In Wyoming, Unite Private Networks announced yet another metro fiber buildout, this time for the Sheridan County School District #2 which signed a 10 year agreement. You just don’t hear much about fiber in Wyoming, and considering the population density that’s not surprising. But schools are starved for bandwidth there just like everywhere else. UPN has been on a new contract tear since that capital infusion from Ridgemont last fall, and they surely have more on the way.
In its earnings call, Level 3 Communications (NYSE:LVLT, news, filings) also announced that they had won a chunk of the CDN business of MLB.com (Dan Rayburn has more) . Level 3 had already been supplying other services to MLB.com, but the CDN win comes partially at the expense of Akamai, again, which will now have to share, again. Level 3 has lately been on a roll in the CDN space, and it’s finally becoming a big enough segment to matter next to their main bandwidth business.
And while Akamai had a bit of a rough quarter while suggesting traffic growth was moderating, the numbers reported by Limelight Networks (NASDAQ:LLNW, news, filings) yesterday didn’t support the case that it was industry-wide. Limelight’s revenues of $49.8M and non-GAAP loss of $0.03 were down sequentially but ahead of estimates, as was Q2 guidance of $51.8M. Akamai had a great year last year, but what goes up…
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