[CasearianDaoist]

I do not understand why no one outside of Asia bid on this. It seems like a steal. All those assets for $250mil. I do not understand it. YOu would think that a baby bell would buy it - that is chump change.

[maui_hawaii]

I would assume that the competition in America already has presence here.

Asian companies might be aiming to expand their footprint globally, ie buy their way into the market.

[MamaLucci]

I guess the good news is that the ChiCom front company didn't
acquire GX.

[jas3]

Few were willing to bid because the market is enormously saturated. There is such incredible excess capacity that it will take years for the market to clear itself.

Do a little math and figure out the total bandwidth in use at any one time on Global Crossing's network. Then multiply by $30 per Mbit per month. The revenues are chump change too.

Add to that the emergence of MCI/UUNet from Ch11 and you've got the makings of another bandwidth price war.

[ohmage]

It seems like a steal. All those assets for $250mil. I do not understand it.

Neither do I. Especially when a year and a half ago, HW and STT was reportedly offering 3x as much for control of Global Crossing.

Must be that time value of money thing. Or Global Crossing had a silent auction and AT&T already purchased their fleet .

From China Brief

When Global Crossing filed a Chapter 11 bankruptcy on January 28, Hutchison Whampoa and Singapore Technologies Telemedia offered a US$750 million cash investment for a joint majority (79 percent) stake in the company. Global Crossing's management welcomed the deal, but some shareholders and creditors have objected. If the deal holds up, it would put a major international communications network, one used by the U.S. military and other government agencies, into the hands of a potential foreign adversary. Chinese military doctrine stresses information warfare and sabotage of communications systems as a key to successful asymmetrical warfare against the United States. Thomas Casey's seat on the NSTAC would thus seem inappropriate.

[ohmage]

YOu would think that a baby bell would buy it

One more post before I sleep. As I recall, NYNEX was one of the original Global Crossing backers. I think they were disappointed with the experience and divested themselves of GC after they became Bell Atlantic.

Maybe it left a bad taste behind.