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Read Press Release

9/25/01

XO Communications Launches Broadband Services in Minneapolis

XO Celebrates Year Anniversary of XO Brand with Key Metro Network Launch

MINNEAPOLIS, MN - XO Communications (Nasdaq:XOXO), one of the world's fastest growing providers of broadband communications services, today announced the introduction of commercial data and voice communications services in the greater Minneapolis/ St. Paul metropolitan area. With this launch, XO now serves 63 markets across the country.

XO has invested millions in Minnesota to build a robust, 120-route mile metro fiber network serving the key business centers in the Greater Minneapolis/St. Paul area that will enable XO to offer a wide range of broadband communications services. The Twin City network is capable of servicing nearly 260,000 commercial end-users with broadband solutions. Additionally, XO will initially employ nearly 30 people to provide sales, customer service and technical support to local area businesses.

In the Twin Cities, XO will use multiple access technologies to directly connect customers' premises to the company's next generation metro broadband communications network via fiber, fixed wireless technology or copper. XO customers can also utilize the company's 16,000-route mile, IP-centric fiber optic long haul network to carry voice and data transmissions to provide end-to-end services throughout the United States. This end-to-end network capability enables XO to deliver innovative products and services such as flat rate, all-inclusive voice and data bundles, Gigabit Ethernet and Wavelength services that are difficult for competitors to match.

"When the XO brand was created one year ago today, our goal was to introduce an element of simplicity, predictability and accountability to the telecommunications process," said Dan Akerson, chairman and CEO of XO Communications, and a native Minnesotan. "Since then, XO has changed the way broadband services are purchased in the U.S. that effectively eliminate the distinction between time and distance, voice and data."

In Minneapolis/St. Paul, XO will provide businesses of all sizes a wide range of broadband communications services including high-speed Internet access, e-mail, Web hosting with e-commerce capabilities, and local and long distance voice services. The company will also provide Twin City businesses virtual private networks (VPN's), Ethernet services, and global transit and application infrastructure services for delivering applications over the Internet or a VPN.

"USFamily.net is one of the Twin Cities' fastest growing residential Internet Service Providers because we deliver competitively priced quality Internet access," said USFamily.net President and CEO Jim Lindberg. "Maintaining our leadership position required a reliable, long-term Internet backbone provider with robust network assets, proven management expertise and pricing flexibility needed to support our customer's demands. XO is an easy choice for us."

Additionally, XO will offer its popular and innovative XOptions packages featuring bundled service offerings that combines local and long distance calling, high speed Internet access and Web hosting services on one flat, monthly rate bill. These bundled packages translate into an overall cost-savings of up to 40 percent for small- and medium-sized businesses. Customer demand for these bundles have resulted in XO's expanding the offering to larger businesses, providing more flexible options to meet the customer's need for simplicity and savings.

"We saw a need and an opportunity for growth in the Twin Cities," said XO General Manager for Minnesota Larry Piumbroeck. "Businesses need a broadband communications company that can deliver all of the services they need, from local and long distance calling to high-speed data services, without extremely high costs or hassle. XO delivers on that need."

"As a Software Quality Assurance provider customers rely on us to help predict the performance and accuracy of mission critical applications and systems - much of which is done on a remote basis," said BenchmarkQA Director of Business Development David Olson. "Reliable, affordable connectivity to a Tier One communications provider is absolutely critical to both BenchmarkQA and our clients. XO Communications' position as a Tier One broadband service provider combines the reliability, solutions options and savings we need."

Located in the heart of Minneapolis at 1200 Washington Avenue North, XO's Minnesota headquarters has 40,000 square feet of first class state-of-the-art technical space that includes a Nortel DMS500 switching center, Sonus VoIP switch, a full 10,000 amp DC Power Plant, full 1 Meg Generator.

About XO Communications
XO Communications is one of the world's leading providers of broadband communications services offering a complete set of communications services, including: local and long distance voice, Internet access, Virtual Private Networking (VPN), Ethernet, Wavelength, Hosting and Integrated voice and data services. <P< cities. U.S. largest 30 the of population percent 95 covering licenses with spectrum, wireless broadband fixed holders America?s North one also is Company The States. United throughout markets 62 in services communications facilities-based offers currently XO relationships peering Internet One Tier and networks set unrivaled an assembled has>

For more information contact:

Lisa Lawless / XO Communications
Media
614-416-1148 or 614-989-5905

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