AT&T to set up fourth network node in Chennai

Terming India as one of the top two strategic markets, global communications network major AT&T Business Services said it will set up its fourth node in Chennai in first quarter of 2005 to expand its reach and capacity for carrying more voice and data traffic in the corporate segment.

'Seeing the potential of Chennai as a key business centre for ITeS and IT firms, we have decided to set up fourth node in Chennai, adding to Bangalore, Mumbai and Delhi. It will be operational in December-end or Q1 of 2005 catering to ITeS and IT companies both Indian and MNCs', AT&T Business Services country general manager Sanjeev Bhagat said.

He said a node could cost $1.5 million but declined to comment on the precise investment in the Chennai node.

Bhagat said the company recorded significant growth in India in the first half of 2004 and most of it has been driven by MPLS-based IP VPN and ATM. The bandwidth on AT&T backbone has increased over eight fold

'We would continue to make investments in the country', he said. He however declined to quantify the earlier and future investments.

The industries showing strongest demand for AT&T's networking services are BPO, call centres, software development houses, banks and financial institutions, manufacturing and logistics companies both Indian and MNCs.

Globally the company is investing in six nodes out of which five are to be in Asia Pacific countries.

AT&T Business Services also planning to offer new services like unmanaged MPLS based IP services apart from its current managed services.