OVERLAND PARK, Kan. -- Sprint (NYSE: FON, PCS) says it has signed a 10-year communications services agreement with Bank of America (NYSE: BAC) to provide what it calls "lightwave" services.
Using Sprint's services, Bank of America will be able to integrate its existing networking
backbone into one consolidated infrastructure, according to a news release, which will enable BofA to offer its customers new products and services at some of the highest available speeds.
According to a report on internetnews.com, the deal basically revamps BofA's entire network, which formerly ran on OC-3 network pipes throughout its banking subsidiaries located throughout the U.S.
Under the agreement, BofA is leasing 27 OC-48 lines throughout the U.S. and colocating at Sprint's 13 data centers, which means BofA will be able to put in servers to boost customer services to its 28 million customers.
The boost from OC-3 to OC-48 is big one, in terms of network speed and capacity, Sprint spokesperson David Gunasegaram told internetnews. According to Gunasegaram, an OC-3 can handle 2,016 simultaneous analog phone calls; an OC-48 transfers 32,256 simultaneous phone calls.
BofA has more than 4,400 banking center, call centers and data-processing facilities throughout the country, as well as 12,500 ATMs. According to the news release, BofA will use Sprint's backbone network to transmit and access data, such as checks, monthly statements and other data applications.
According to both the release and the internetnews report, BofA has immediate plans to use its new network to provide color and sound to all of its ATMs. BofA is currently in the midst of upgrading its entire ATM network to what it calls an "advanced technology platform," which includes Pentium processors, a Windows NT operating system and touch screens.
Sprint uses dense wavelength division multiplexing (DWDM) optical technology to boost the performance of its nationwide network. Called "lightwave services" by its executives, the technology enhanced by Sprint's Advanced Technology Laboratories technicians can give OC-48 networks speeds around 400 gigabytes per second, according to internetnews.
DWDM has become a popular fiber-optic technology among carriers in recent years, according to the internetnews report. Because it is protocol and bit-rate independent, carriers can sell to companies who use any number of network architectures, such as IP, asynchronous transfer mode (ATM), synchronous optical network (SONET) or Ethernet.
