360Networks Expands VoIP Coverage Areas

Having successfully brought wholesale VoIP services to many small markets in the Western states, 360Networks is now taking a step further by focusing on more major cities where it can readily offer the service.

Already, it has launched its service in Los Angeles and San Diego this week and debuting its wholesale VoIP service in California with 238 new rate centers in two local access transport areas [LATAs], the carrier is pushing wholesale VoIP into Dallas and Chicago this year, adding to cities such as Denver and Seattle.

The company sells wholesale carriers and resellers of termination traffic. Its competitors include Level 3 Communications, Paetec, Global Crossing and, increasingly in California, Pac-West Telecomm.

After L.A. and San Diego, 360 will next target San Francisco and Sacramento, followed by smaller markets throughout the Golden State.

Commenting on their success of reaching California, Nick Reifschneider who is the product manager for VoIP business stated that "We've been wanting to do California for quite a while, there's just a lot of process work that has to take place, lighting up with AT&T. "

The company has enjoyed great expansion since the time when it began the sale of wholesale VoIP in the fall of 2006, initially spreading throughout Qwest Communications territory. But it has since expanded outside that footprint, inking local interconnect agreements with Verizon Communications, Embarq, CenturyTel and, most recently, AT&T.

Late last year, the company deployed optical equipment from Infinera in order to light its own network between Chicago and Denver -- a route in which 360 previously leased capacity from others. That move not only gave the carrier plenty of capacity on that route, it also allowed 360 to launch wholesale VoIP service in Iowa and Nebraska.

360 wants to launch service in Chicago before the end of this year, but that process is slowed by the fact that the city has penned its own requirements for emergency 911 VoIP service. (360 works with Entrado for e911.). And the company hopes to launch service in Dallas in June

However, as its network expands to east Chicago, 360 reveals that it has no plan to expands its network into the eastern US for the sole reason that it will cost 360 to acquire off-network facilities which the company is not prepared to do at the moment.