Free Trial

Global Telecoms Business
Global Telecoms Business Copying and distributing are prohibited without permission of the publisher

Loeber: Keeping Hermes Europe Railtel on track

01 March 1999

Hermes Europe Railtel was among the first operators to target the pan-European carriers' carrier market. With one of the largest trans-European networks, it has already gained over 50 customers and is expanding rapidly despite increasing competition. Managing director Jan Loeber talks about the operator's long-term ambitions.

Hermes Europe Railtel is an emerging carrier in the pan-European market. The company provides cross-border communication transmission services for other carriers, including incumbent PTOs. It has one of the largest trans-European networks. By the end of 1999 it expects to be in 18 countries and 44 cities with a network of more than 20,000km. The network is based on DWDM (Dense Wave Division Multiplexing) technology. It is a high-capacity platform and enables Hermes to deliver high-end services at high speeds.
Hermes Europe Railtel began operations in 1996. It currently serves more than 50 customers. The company has been leveraging this first to market advantage, as Trent Spiridellis, a telecoms equity analyst at NationsBanc Montgomery Securities explains: "At the beginning of 1998 Hermes along with WorldCom and Ulysses were the only players that actually had broadband seamless communications networks."

As new entrants target the European market, prices may drop dramatically....