XO Holdings Launches Nextlink


New Subsidiary Provides Broadband Wireless Services for Wireless and Wireline Communications Service Providers, Businesses and Government Agencies

Will Serve More Than 70 Major U.S. Markets with Reliable and Scalable High-Speed Alternative to Local Copper and Fiber Connections

RESTON, Va., April 24 / / -- XO Holdings, Inc. today announced the launch of Nextlink, a new broadband wireless service provider offering services to mobile and wireline communications service providers, businesses and government agencies. Utilizing licensed wireless spectrum covering 75 metropolitan markets across the United States, Nextlink will offer customers fast, reliable and scalable broadband wireless services as an alternative to conventional broadband services delivered over copper.

Nextlink is initially launching service in Dallas, Los Angeles, Miami, San Diego, Tampa and Washington, DC, with additional market launches over the next two years. Nextlink is currently providing broadband wireless services to a major national wireless company, delivering wireless backhaul and network redundancy and diversity services across markets in south Florida. In conjunction with the launch of its services, Nextlink also announced today the selection of Hughes Network Systems, LLC as its strategic wireless equipment supplier.

Nextlink's services debut as the market forces of competition and convergence place new demands on organizations to provide high capacity, next generation services more cost-effectively over their networks. These demands include supporting next generation mobility applications and content, and finding new local broadband access alternatives to incumbent telephone companies. Nextlink will fill a critical gap for customers that require higher speed broadband access but are constrained by the limitations of copper and fiber. Last-mile copper connections do not scale to meet high bandwidth demands, while fiber is too costly and time-consuming to deploy, or simply not available.

"With Nextlink, fixed broadband wireless comes of age at the right time and supports the right applications, offering customers secure, reliable, high capacity communications that can be deployed quickly," said Tom Cady, Nextlink's president. "Service providers, government agencies, and businesses now have a viable broadband wireless alternative to meet their mission- critical communications requirements. With an average of nearly 1 GHz of licensed spectrum in more than 70 markets, Nextlink can deliver high-speed broadband wireless services to more customers than any other fixed wireless spectrum holder."

Yankee Group Vice President Philip Marshall said, "We see strong potential for broadband fixed wireless solutions in the wireless marketplace. Next generation network overlays for 3G and beyond will require significant incremental transmission investments if operators continue to resort to wireline solutions. Nextlink provides a high-value alternative for providers that seek to optimize backhaul networks and ensure high bandwidth connectivity."

Nextlink Services
Nextlink's services are "fixed wireless" broadband offerings that rely on licensed local multipoint distribution system (LMDS) wireless spectrum in the 28GHz - 31GHz range. For locations up to seven miles and in line-of-sight of a Nextlink wireless hub, Nextlink provides wireless broadband services with speeds from 1.544 Mbps (T-1) up to 622 Mbps (OC-12). Nextlink's services include:

o Wireless T-1:
-- Provides wireless service providers with a cost-effective and reliable alternative to copper-based backhaul connectivity to cellular sites as well as offering an additional layer of network redundancy. Customers can also seamlessly transition from Wireless T-1 to Wireless Ethernet to support more advanced mobility applications and content.
-- Provides wireline communications service providers with a new "last-mile" access alternative to support their customers.

o Wireless Metro Ethernet:
-- Provides mobile wireless service providers with a highly scalable cell site backhaul solution to support more bandwidth intensive next generation mobility applications and content.
-- Provides businesses and government agencies with broadband connectivity to support bandwidth intensive applications including, LAN-to-LAN networking, videoconferencing, distance learning, and IP telephony.

o Wireless Dedicated Internet Access:
-- Provides high-speed Internet connections at dedicated transmission rates for businesses or government organizations in locations that lack direct fiber connectivity.

"The prospects for fixed broadband wireless in the wide area network Ethernet market may prove to be every bit as promising as in the wireless backhaul arena," said Josh Holbrook, Yankee Group senior analyst, Telecommunications Strategies. "Ethernet vertical markets including education, finance, government, health care and manufacturing are a natural fit for broadband wireless, and Nextlink can address 75% of the total market."

Nextlink Wireless Network Overview
The Nextlink wireless network architecture consists of wireless hubs that are connected to a wireline IP network and remote terminals located at the customer's premises, which can be a building or a cellular site. Carrier grade point-to-point or point-to-multipoint communications (up to 99.999 percent reliability) between hubs and receivers can span a distance up to seven miles. Radio receivers support both T-1 and Ethernet, easing the transition from circuit-switched, TDM networks to an IP infrastructure positioned for next generation service fulfillment.

About Nextlink
Nextlink, a subsidiary of XO Holdings, Inc., provides broadband wireless services to the wireless and wireline communications service provider, business and government markets. As one of the nation's largest holders of fixed wireless spectrum, Nextlink delivers high-quality, carrier-grade wireless access solutions that scale to meet the demands of today's converged world of communications - supporting next-generation mobile and wireline voice, data and video applications. For additional information, visit http://nextlink.com/.

About XO Holdings
XO Holdings (BULLETIN BOARD: XOHO) is the holding company of XO Communications, LLC and Nextlink. XO Communications is a leading provider of national and local telecommunications services to businesses, large enterprises and telecommunications companies. XO Communications offers a complete portfolio of services, including local and long distance voice, dedicated Internet access, private networking, data transport, and Web hosting services as well as bundled voice and Internet solutions. XO Communications provides these services over an advanced, national facilities-based IP network and serves more than 70 metropolitan markets across the United States. For more information, visit www.xo.com/. Nextlink is one of the nation's largest owners of fixed wireless spectrum covering 75 metropolitan markets nationwide and provides broadband wireless services to the wireless and wireline communications service provider, business and government markets.

CONTACT: Chad Couser of XO Communications, +1-703-547-2746, chad.couser@xo.com

Web site: http://www.xo.com/
http://nextlink.com/

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