MediaG3 Acquires 30 Carrier-Grade Microwave Towers from Worldwide Communications, Inc.
10:53 am ET 05/04/2009- Business Wire
SANTA CLARA, Calif.--(BUSINESS WIRE)-- MediaG3, Inc. (OTCBB: MDGC), a leading developer of broadband wireless products, today announced its acquisition of 30 carrier-grade microwave towers, originally constructed by AT&T and MCI, from Worldwide Communications, Inc. The towers are strategically located in alternate tier markets in approximately 20 states. This acquisition of network assets, which was completed on May 1, 2009, is a significant contribution to MediaG3's growing portfolio of technology and application platforms, and provides a compelling advantage in the industry as it grows its network presence and broadband IP services in the United States.
The value of the acquisition is $1.5 million to be paid to the seller in restricted common shares at $0.02 per share. These tower assets will facilitate the company's capital-raising ability as well as provide strategic value in support of MediaG3's proprietary LMDS equipment and technology.
The 30-tower network provides a critical link for MediaG3 to fully enable a Broadband IP-based network in the US in conjunction with its core LMDS fixed wireless equipment and technology, and allows access to meet growing demand for broadband-IP services (including VOIP, data, multi-media and 3G interactive services). The tower assets will afford MediaG3 oversight and control of a robust network, whereby WIMAX and CDMA 2000 network providers will seek to align with MediaG3 to enable their service platforms for broadband IP services.
"We are excited to be able to report the exceptional acquisition of these towers," said Joseph Anzalone, President and Chief Operating Officer of MediaG3. "The towers, which are now a part of MediaG3's strategy and growth in the US market, will provide excellent synergies to our patent-protected LMDS technology and equipment, and leverage our presence in the US market with a proprietary wireless network. Furthermore, given that broadband access is a critical priority under the American Recovery & Reinvestment Act of 2009, we believe MediaG3 will be well-positioned to provide these needed broadband IP services throughout the US to support the objective of delivering economic and job creation opportunities as expressed in the program."
"We believe MediaG3 has a strategic vision consistent with our own relative to the technology convergence and global drivers in today's environment, and look forward to working closely with the company in the deployment and implementation of a nationwide WiMAX network", added Ray Powers Ph.D., President of Operations, Worldwide Communications, Inc.
About MediaG3, Inc
MediaG3, Inc. develops and markets broadband wireless technology products and online applications that empower interactive content delivery to today's fixed and mobile consumers. With a well-defined business model of "U.S. Technologies, China Market," MediaG3 is developing its integrated business and product lines to offer the best solutions for broadband wireless infrastructures. MediaG3 is based in Santa Clara, California, with offices in Shenzhen, China. MediaG3 is also looking to form joint venture with several other Chinese WiFi WiMax companies in Shenzhen China. For more information about the company, please visit www.mediag3.com.
About Worldwide Communications, Inc.
Worldwide Communications Inc. established in 2006, is a holding company for 136 microwave and cellular tower assets.
Forward-Looking Statements:
Forward-looking statements such as "believe," "expect," "may," "plan," "intend," "project," etc., contained herein are within the meaning of the Private Securities Litigation Reform Act of 1995. These statements involve risks and uncertainties and are based on the Company's beliefs and assumptions it made using information currently available to it and which reflect current views concerning those future events. Actual results could differ materially. Factors that could cause results to differ materially from those expressed or implied by such forward-looking statements include, but are not limited to, the volatility of trading markets, the Company's limited operating history, the inability to obtain additional capital, the Company's unproven business model, the risks of doing business in Asia, and other factors discussed in filings made by the Company with the Securities and Exchange Commission.
Source: MediaG3, Inc.
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