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September 16, 1998


By CBR Staff Writer

Rocky Mountain Internet Inc, the Denver Colorado-based ISP, local and long-distance telecommunications and web hosting company, has acquired DataXchange Corp, a national backbone provider based in Clearwater Florida. Rocky Mountain issued 535,000 shares for the purchase, which values the deal at about $5.0m, based on Tuesday’s closing price. It is the first time Rocky Mountain actually owns the access points to the backbone, rather than having to lease them from other carriers. It has such a leasing deal with PSINet Inc. DataXchange claims more than 150 ISPs among its customers for its OC-3 (152.5Mbps) fiber optic network with 326 POPs around the country. Boardwatch Magaziner places DataXchange sixth among 36 national backbone providers in terms of size. Rocky Mountain’s chief executive Doug Hanson, who founded Qwest Communications, says he hopes to expand the business with the regional ISPs as he intends to run DataXchange as a carrier’s carrier, as well as using it for the purposes of Rocky Mountain.

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