Telecom providers #CenturyLink and #Level3 Communications are reportedly in talks to join forces, the Wall Street Journal reported on Thursday. A possible merger would combine Level 3's robust fiber footprint, with CenturyLink's networking, cloud and software-defined networking ( #SDN ) expertise, partners say. While terms of the reported deal are unknown, a merger could be announced in the coming weeks, according to the Wall Street Journal, citing sources familiar with the matter.
The potential CenturyLink/Level 3 merger comes at a time in which many traditional telecom providers are trying to reinvent themselves in order to stay relevant and bring more value to their customers, said Michael Bremmer, CEO of Moreno Valley, California-based TelecomQuotes.com, a telecom consultancy.
"The problem is, these carriers don't know what they want to be when they grow up," Bremmer said.
Level 3's far-flung fiber infrastructure expands more than 100,000 fiber miles in North America, Europe, Latin America and Asia. Its footprint also includes 30,000 metro route miles and 35,000 subsea route miles. CenturyLink, a service provider with a smaller backbone, has a robust portfolio of cloud, hosting and SDN services that could be expanded to more customers if the two companies come together, partners say.
Carrier Access, Inc., a Des Moines, Iowa-based solution provider and CenturyLink Premier Partner believes that a merger between the two companies would be welcome to the market, said Shane Stark, director of vendor and channel relations for Carrier Access.
CenturyLink and Level 3 have a lot of synergies, Stark said.
"From a partner standpoint, it's a great thing to see two companies that have been partner-friendly come together. I think it would be a fantastic fit, " he said.
A CenturyLink/Level 3 combination will help both companies offer more valuable services to the market, TelecomQuotes' Bremmer added.
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