Monday, July 24, 2006
Om Malik writes about EarthLink: "Its two big bets - cellular MVNO and muni wireless networks. Both are costly mega-million dollar investments...... Like America Online, Earthlink has been in a desperate fight to make itself over, using any and every broadband technology. Broadband over powerlines, Fixed Wireless, MuniWireless, Broadband MVNO, and Voice over IP - anything to get off its dependency on incumbent - DSL or cable - access pipes. These are expensive initiatives that come at particularly harrowing time for the company." In the comments below the post, Weatherby writes, "EarthLink is not in the technology business. They are in the service business. They use technology to deliver service and their own IP is not deep. As a service company, EarthLink has not felt the need or wanted to run a large network. Just like the MVNO play, they buy network access at wholesale prices, bundle it up and sell it at a profit."