AT&T to Invest $750 Million-Plus Globally in 2007 to Speed Advanced Solutions to Business Customers

Investment will accelerate rollout of services portfolio, expand global IP network in emerging/developed markets worldwide

Bedminster, New Jersey, March 13, 2007

AT&T Inc. (NYSE: T) today announced that AT&T will invest more than $750 million in 2007 to accelerate the delivery of global IP services and solutions to businesses and multinational companies in key markets worldwide.

With this global investment – one component of the company's multi-billion dollar enterprise capital program and part of its previously issued companywide capital outlook – AT&T is aggressively executing more than 200 initiatives to (1) enhance and expand its portfolio of retail and wholesale services and solutions and (2) extend the global network infrastructure and capabilities needed to deliver services and solutions to businesses and multinational companies in both emerging and developed markets worldwide.

This program, which represents a significantly higher level of investment over 2006, reflects AT&T's determination to maintain its lead in serving the needs of our customers globally," said Dick Anderson, group president—Global Business Services.

"In a global environment where IP network and convergence trends continue to transform companies and whole industries, we're well-positioned to meet our customers' needs with solutions delivered via a global IP network that is second to none."

With this investment AT&T will:

  • Add a multitude of advanced features to its flagship and industry-leading Virtual Private Network (VPN) services portfolio and its business VoIP services portfolio, voice, security services and electronic customer service capabilities. Examples include global applications management capabilities on VPNs, global enhanced remote monitoring and management capabilities for hosting customers, global expansion of network-based firewalls, deployment of in-country IP services, enhancements to global IP conferencing and contact centers, and global e-ordering, maintenance and network reporting capabilities.
  • Increase Internet Data Center (IDC) capacity by expanding several existing sites (California, Virginia, Arizona and the U.K.), opening new data centers in the New Jersey/New York market in the U.S. and in Canada, and delivering new managed services within the hosting portfolio, incorporating the application software management expertise of recently acquired USinternetworking (USi). By the end of 2007 AT&T will have 38 IDCs deployed around the world, which would include the four centers from USi and BellSouth.
  • Extend the deployment of key access technologies, such as Wi-Fi, DSL, Ethernet and satellite to help companies connect to AT&T's global IP network.
  • Significantly extending its global IP network and capabilities to deliver more services to business customers in the United States and around the world. Focus markets in 2007 include the high growth economies of Asia Pacific (including China and India), the Middle East and Latin America; and the larger, more developed markets in Europe (France, Germany and the U.K.) and Canada. Last year, AT&T announced the formation of a joint venture in India, opened new offices in the Middle East (Dubai) and extended its network presence in Vietnam.

By year-end 2007, the AT&T global network will provide multi-national
companies with:

  • MPLS-based access from 155 countries via more than 2,000 service nodes – this will include the addition of new network nodes in Vietnam, Pakistan, Saudi Arabia, Malaysia, Morocco, and the addition of 3 new nodes in India.
  • Satellite and long line extension access from 51 countries.
  • 13 network interconnects in 22 key regions/countries, offering greater depth of coverage to our customers.
  • DSL network access in 34 countries.
  • Ethernet network access in 31 countries.
  • Remote access will be available via:

    • Cellular data access in 11 countries. US based customers can now take advantage of the AT&T's market leading global wireless roaming agreements – AT&T delivers the widest international coverage of any U.S.-based wireless carrier, giving customers the ability to make calls in more than 200 countries, wireless data roaming in more than 120 countries, and 3G links in more than 30 countries.
    • Wired Ethernet access from more than 1,600 locations in 17 countries.
    • WiFi access from more than 55,000 hotspots over 80 countries. AT&T already provides Wi-Fi coverage to 81 U.S. airports — including the country's 25 busiest — as well as more than 250 other airports around the world. In the U.S. alone, AT&T currently provides access from nearly 15,000 hot spots for mobile workers at airports, Barnes & Noble bookstores and selected McDonalds® restaurants.
    • Dial access from more than 9,400 access points in 166 countries.

The AT&T Global Network already provides AT&T with a unique asset that has been designed and built specifically to meet the needs of multi-national companies. The integrated IP network uses the latest MPLS-based technology allowing AT&T to provide a variety of globally consistent services over a single, converged infrastructure.

About AT&T
AT&T Inc. is a premier communications holding company. Its subsidiaries and affiliates, AT&T operating companies, are the providers of AT&T services in the United States and around the world. Among their offerings are the world's most advanced IP-based business communications services and the nation's leading wireless, high speed Internet access, and voice services. As part of its three-screen integration strategy, AT&T is expanding video entertainment offerings to include next-generation television services such as AT&T U-verseSM TV. In domestic markets, AT&T is known for the directory publishing and advertising sales leadership of its Yellow Pages and YELLOWPAGES.COM organizations, and the AT&T brand is licensed to innovators in such fields as communications equipment. Additional information about AT&T Inc. and the products and services provided by AT&T subsidiaries and affiliates is available at www.att.com.

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