To: SouthFloridaGuy who wrote (1131 ) 7/4/1999 1:06:00 AM From: AJ Berger Read Replies (1) | Respond to of 3376
More significant press on MCOMinternetworld.com The Metricom deal As for Metricom, the $600 million from Allen and MCI WorldCom will help the Los Gatos, Calif., company out of its half-decade stall. First off, Metricom will convert its existing Seattle, San Francisco, and Washington, D.C., networks from 28.8 Kbps to 128 Kpbs this summer. Roger Nolan, vice president of strategic alliances at Metricom, said the company's Ricochet service will begin rolling out in Chicago, New York, Los Angeles, Atlanta, and eight other metro areas early next year. In addition to providing funding, MCI WorldCom also will resell the Richochet service and lend its infrastructure to the Metricom network. "Even though our network is wireless, we still need a wire about every 11 miles, so MCI WorldCom is letting us use their Internet backbone as part of the agreement," said Nolan. "They also bring us their existing customer base and relationships--basically, lots of businesses who can buy our service from MCI for their mobile work force." Metricom is developing similar reseller partnerships with other telecommunications companies, though Nolan declined to name them at this time. Metricom launched in 1985 and rose to prominence in 1993 when Paul Allen and Bill Gates invested in the company. But while the Internet has boomed, Metricom's "go it alone" strategy of selling network and end-user equipment, managing the network, and providing access, has meant slow expansion. Partnership with MCI could provide a boost, but competition is emerging. Mountain View, Calif., startup Rooftop Communications has emerged from six years of DARPA-funded research with a sophisticated, self-managing peer-to-peer wireless service. And Rooftop is selling equipment directly to ISPs.