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KPNQwest bankruptcy could cause network chaos

OUT-LAW News, 10/06/2002

The fate of Europe’s largest fibre optic network hangs in the balance today following last month’s bankruptcy of KPNQwest, the company that provided the 18-country 25,000 km network upon which a large proportion of Europe’s internet traffic relies.

Trustees in bankruptcy on Thursday urged KPNQwest’s 100,000 corporate customers – some of whom are Europe’s leading ISPs – to pay their bills by close of business Monday in order that it could keep the network running while they are migrated to other networks. If insufficient funds are received, the network will be shutdown.

Reports on the impact of a network shutdown are mixed. The Register quotes a BT expert who claims that speculation of an “internet black hole” is “over the top” because other internet companies have the required capacity for Europe’s internet traffic. FT.com, however, quotes a source close to KPNQwest who warns that up to 40% of European internet traffic is reliant on the company’s network, implying that a shutdown would be chaotic.

 

 

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