Long-distance phone carrier Sprint announced Tuesday that it will use optical fiber from Metromedia Fiber Network in 10 cities. Sprint will lease fiber lines in Boston, Chicago, Dallas, Houston, Los Angeles, Newark, N.J., New York, Philadelphia, Seattle and Washington, D.C. Financial terms of the deal were not disclosed, but Sprint aims to begin using the extra capacity by mid-2002 and be operating in all 10 cities by the end of next year. The agreement also gives Sprint the option of leasing more fiber from Metromedia inside and outside the United States.
Leasing bandwidth is generally considered a cheaper way for a carrier to increase capacity as opposed to building a network, which requires obtaining the necessary permits and tearing up city streets. Sprint said it rented the lines to give more bandwidth to its voice, data and wireless customers in urban areas.