IBM, Qwest to Build Cybercenters

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Qwest, Denver, and IBM, Armonk, NY, said yesterday they would form a $5 billion venture to build 28 cybercenters within the next three years to meet the rising demand of companies using the Internet for business transactions.

The sites will include services such as Web hosting and platforms for application services.

The first four centers will be located in Dallas, Philadelphia, Sterling, VA, and San Jose, CA. The companies did not say if they would start a separate company to manage the new centers, but revenues were expected to be split down the middle. The companies plan to have 14 centers in operation by the end of the year.

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