GlobalCenter Japan, a joint venture with IRI. IRI is a US$10 billion, market-oriented research and development company in Japan. The venture
will design, develop, and construct a data center in Japan providing connectivity to the world through the Global Crossing Network. GlobalCenter Japan will also develop and provide complex web hosting services, e-commerce support, and applications hosting solutions.
Asia Global Crossing will own 89 percent of the joint venture and IRI 11 percent. Asia Global Crossing is a joint venture among Global Crossing, Microsoft, and Softbank Corp. GlobalCenter Japan initial service is planned for April.
IRI has led much of the development of Internet-related technology in Japan. IRI engineered, constructed, and now manages Japan's two leading commercial Internet exchanges, which together
handle more than 90 percent of Japan's Internet traffic. That engineering expertise combined with the Global Crossing Network will bring an unprecedented level of technological know-how, advanced products and services, and worldwide connectivity to businesses in Japan.
Jack Scanlon, CEO of Asia Global Crossing, said: "The mission of the GlobalCenter Japan is to position itself at the core of the Internet in Japan and quickly become the leader in Japanese complex web hosting services. Web hosting in Japan is growing rapidly, driven by growing ownership of personal computers and the increased use of the Internet for information, entertainment, and retail sales. We believe on-line commerce and third-generation telecommunication services are the next strong growth areas and that these will become
principal drivers of the complex web hosting services we are offering.
"GlobalCenter Japan not only combines the technological and market expertise of IRI with the broadband infrastructure of Asia
Global Crossing, but the joint venture has the added benefit of a strong relationship with GlobalCenter. Together, the companies are
cooperating to extend data center capabilities throughout Asia, resulting in the most comprehensive, most technologically advanced web
product and network service offerings for our customers in Japan." Said Dr. Hiroshi Fujiwara, president and chief executive officer of IRI Japan: "Global Crossing and Asia Global Crossing are bringing full broadband connectivity to businesses and consumers in Japan and
throughout the Asia Pacific region. Our new joint venture will now establish a world-class web hosting facility, guaranteeing state-of-the-art solutions for enterprises with mission-critical
Internet operations and markets in Japan. Then we will be able to provide the most efficient common platform of e-commerce service providers, content providers and emerging ASPs (Application Service
Providers)."