Internap Network Services Corporation, the leading provider of performance-based routing services over the Internet, announced today a strategic partn...

Internap Network Services Corporation, the leading provider of performance-based routing services over the Internet, announced today a strategic partnership for IP transit connectivity with global communications leader Telefonica S.A. Under the agreement, Internap will provide Telefonica with intelligent routing connectivity in order to more effectively route business-critical data traffic in North America. Telefonica International Wholesale Services, global provider of international wholesale services within the Telefonica Group, will partner to deliver extensive connectivity services to Internap through Telefonica USA, which in turn will provide support to business-critical applications for another significant customer and Telefonica Group company.

In addition, Internap will integrate Telefonica's international network into its service provider fabric, gaining direct access to the largest backbone network in Latin America and one of the largest in Europe. The move expands Internap's footprint internationally and reduces backhaul charges for servicing Internap customers with a presence in these markets. "This strategic partnership will provide Telefonica with the ability to guarantee performance off its network, extending the company's reach to cover the entire Internet," said Pete Pizarro, CEO of Telefonica USA. "Without a doubt, combined with Telefonica's existing robust infrastructure in Latin America and Europe, it will further strengthen the company's ability to support the business-critical needs of our global customer base."

"As a major European carrier and the dominant telecommunications provider in Latin America, Telefonica is an ideal partner for Internap," said Greg Peters, CEO of Internap. "This relationship leverages the strengths of both companies, enabling Telefonica to offer peak IP performance in North America and giving Internap access to a vast, untapped market for premium network services in Europe and Latin America." Telefonica currently services a large number of European and Latin American subsidiaries of U.S.-based companies and Internap extends its ability to offer services directly to the corporate headquarters of these companies in the U.S.

As part of the agreement, the two companies will jointly market services to their respective customer bases. This includes Internap prepackaging Telefonica access in its backbone provider portfolio and Telefonica reselling Internap connectivity as a premium network service under the Telefonica brand.


About Telefonica
Telefonica is the leading telecommunications operator in the Spanish and Portuguese-speaking world and one of the largest on both a European and global scale. Telefonica is the world's sixth largest telecoms company by market capitalization and the Eurostoxx-50 index ranks it as Europe's fifth largest company and Spain's first by market capitalization (figures at 31 March 2003). Through its affiliate companies in Latin America, Europe and the United States, Telefonica has presence in more than 40 countries (and operates in 16) and is focused in Spanish and Portuguese markets with a potential market of more than 550 million.

For more information on Telefonica, please visit www.telefonica.com

About Internap
Internap offers business customers high performance IP services through a portfolio of Internet-based solutions that utilize all major domestic IP backbones. The company's patented and patent-pending route management technology and industry-leading service level guarantees provide 100 percent Internet availability, allowing customers to bypass congestion points and avoid other difficulties that plague conventional Internet connectivity. Internap’s portfolio of services also includes: collocation, content distribution, managed security and managed storage solutions.

For more information on Internap, please visit www.internap.com