Close
  • Latest News
  • Artificial Intelligence
  • Video
  • Big Data and Analytics
  • Cloud
  • Networking
  • Cybersecurity
  • Applications
  • IT Management
  • Storage
  • Sponsored
  • Mobile
  • Small Business
  • Development
  • Database
  • Servers
  • Android
  • Apple
  • Innovation
  • Blogs
  • PC Hardware
  • Reviews
  • Search Engines
  • Virtualization
Read Down
Sign in
Close
Welcome!Log into your account
Forgot your password?
Read Down
Password recovery
Recover your password
Close
Search
Logo
Logo
  • Latest News
  • Artificial Intelligence
  • Video
  • Big Data and Analytics
  • Cloud
  • Networking
  • Cybersecurity
  • Applications
  • IT Management
  • Storage
  • Sponsored
  • Mobile
  • Small Business
  • Development
  • Database
  • Servers
  • Android
  • Apple
  • Innovation
  • Blogs
  • PC Hardware
  • Reviews
  • Search Engines
  • Virtualization
More
    Home Latest News

      Terremarks Financial Trouble Threatens Its Latin Net Control

      Written by

      eWEEK EDITORS
      Published July 23, 2001
      Share
      Facebook
      Twitter
      Linkedin

        eWEEK content and product recommendations are editorially independent. We may make money when you click on links to our partners. Learn More.

        Terremark Worldwide may run out of cash before its NAP of the Americas has a chance to become the chief Internet power broker in the Americas.

        But Terremarks financial woes could be a boon for BellSouths Florida Multimedia Internet eXchange (FloridaMIX), which is in a fierce price war with NAP of the Americas for Latin American data exchange traffic.

        Terremark reportedly spent about $200 million to build the 750,000-square-foot Technology Center of the Americas that houses the 125,000-square-foot Network Access Point. From the huge, windowless, waterfront building in Miami, NAP of the Americas provides collocation and high-speed connections to carriers selling connectivity between Latin America and the U.S. and claims 34 customers, including anchor tenant Global Crossing and companies such as Level 3 Communications, Metromedia Fiber Network and Yipes Communications. BellSouths FloridaMIX, which also aims to become a hub of Latin American data traffic, said it has 23 signed letters of intent from customers.

        Terremarks problem is lack of cash. To continue operations, it will need to raise $60 million by the end of the year, the company said in a Securities and Exchange Commission filing last week; without the infusion, there is “substantial doubt . . . about our ability to continue as a going concern.” But in interviews later in the week, Terremark executives downplayed the significance of the warning.

        “To steal a quote from our chairman, the company is confident that we would be able to raise — as we have done in the past — the capital to execute our plan,” said Jose Segrera, Terremarks acting chief financial officer.

        If Terremark fails to raise cash, a consortium of banks — led by Floridas Ocean Bank — that financed the Technology Center of the Americas construction could move to take over the facility.

        Terremark has agreed to sell a waterfront property in Fort Lauderdale, Fla., to a South Florida developer for $17.2 million. The rest of the cash, Segrera said, would come from the financial markets.

        The success of NAP of the Amer-icas, which opened in late June, is critical to Terremarks future. Customers, however, are not worried. “We dont have any reason to take any action. Right now, it is just speculation in the marketplace,” said Ron Young, chief marketing officer of Yipes.

        eWEEK EDITORS
        eWEEK EDITORS
        eWeek editors publish top thought leaders and leading experts in emerging technology across a wide variety of Enterprise B2B sectors. Our focus is providing actionable information for today’s technology decision makers.

        Get the Free Newsletter!

        Subscribe to Daily Tech Insider for top news, trends & analysis

        Get the Free Newsletter!

        Subscribe to Daily Tech Insider for top news, trends & analysis

        MOST POPULAR ARTICLES

        Artificial Intelligence

        9 Best AI 3D Generators You Need...

        Sam Rinko - June 25, 2024 0
        AI 3D Generators are powerful tools for many different industries. Discover the best AI 3D Generators, and learn which is best for your specific use case.
        Read more
        Cloud

        RingCentral Expands Its Collaboration Platform

        Zeus Kerravala - November 22, 2023 0
        RingCentral adds AI-enabled contact center and hybrid event products to its suite of collaboration services.
        Read more
        Artificial Intelligence

        8 Best AI Data Analytics Software &...

        Aminu Abdullahi - January 18, 2024 0
        Learn the top AI data analytics software to use. Compare AI data analytics solutions & features to make the best choice for your business.
        Read more
        Latest News

        Zeus Kerravala on Networking: Multicloud, 5G, and...

        James Maguire - December 16, 2022 0
        I spoke with Zeus Kerravala, industry analyst at ZK Research, about the rapid changes in enterprise networking, as tech advances and digital transformation prompt...
        Read more
        Video

        Datadog President Amit Agarwal on Trends in...

        James Maguire - November 11, 2022 0
        I spoke with Amit Agarwal, President of Datadog, about infrastructure observability, from current trends to key challenges to the future of this rapidly growing...
        Read more
        Logo

        eWeek has the latest technology news and analysis, buying guides, and product reviews for IT professionals and technology buyers. The site’s focus is on innovative solutions and covering in-depth technical content. eWeek stays on the cutting edge of technology news and IT trends through interviews and expert analysis. Gain insight from top innovators and thought leaders in the fields of IT, business, enterprise software, startups, and more.

        Facebook
        Linkedin
        RSS
        Twitter
        Youtube

        Advertisers

        Advertise with TechnologyAdvice on eWeek and our other IT-focused platforms.

        Advertise with Us

        Menu

        • About eWeek
        • Subscribe to our Newsletter
        • Latest News

        Our Brands

        • Privacy Policy
        • Terms
        • About
        • Contact
        • Advertise
        • Sitemap
        • California – Do Not Sell My Information

        Property of TechnologyAdvice.
        © 2024 TechnologyAdvice. All Rights Reserved

        Advertiser Disclosure: Some of the products that appear on this site are from companies from which TechnologyAdvice receives compensation. This compensation may impact how and where products appear on this site including, for example, the order in which they appear. TechnologyAdvice does not include all companies or all types of products available in the marketplace.

        ×