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M&A In The Broadband and Voice World

Yesterday Covad merged with Megapath, thus creating a vary large managed service local exchange carrier.

What this means:

1) Some job functions will be combined, largely back office, customer support, network operations

2) Expansion of footprint for both companies

3) Less choice and a lessening of competition in the alternative carrier space vs. the telcos and the cable companies

The merger is expected to close in the 3rd quarter of this year.


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