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Friday, May 19, 2006

Competitive Internet Access on the Cheap

For most businesses, Internet access is as important as telephone and fax services. And when small businesses compete against larger enterprises, the pressure is on to perform. Failing to promptly reply to an important client because your Internet connection is down doesn't cut it. Reliable Internet access is even more crucial when you run your own email server, provide remote access to remote users, or host other servers that must be accessible to the outside world. Unfortunately, the business broadband Internet services that small businesses can afford often resemble consumer services, with a higher price tag but with somewhat unreliable service and unpredictable speed.

If you work for a small-to-midsized business (SMB), you might think keeping up with your larger competitors is impossible. But advances in hardware and software, plummeting prices, and the Internet let you leverage technology opportunities to compete without losing the responsiveness that comes with being smaller. The trick is that you must be aware of available services and innovations and do some out-of-the-box thinking. By using dual-WAN routers, you can get highly reliable Internet access for dollars a month—and even connect multiple locations in one WAN. . . .

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Saturday, May 06, 2006

Cheap DSL Dooms Dial-Up

Shares of Internet service providers United Online and EarthLink Network were smacked around on Wednesday after SBC Communications, the nation's second-largest telecom provider, announced industry-low pricing for new DSL customers.

SBC (nyse: SBC - news - people ) said that new residential customers who sign up online for DSL can get the service for only $14.95 per month. The limited-time offer is being viewed as a highly negative incident for independent ISPs and cable providers such as Time Warner (nyse: TWX - news - people ), with fears that competitors may resort to price cuts in an effort to retain or gain market share.

The news nailed shares of United (nasdaq: UNTD - news - people ), which just recently surged above the $13 mark for the first time since early August 2004. Last month, after posting relatively strong first-quarter results, the ISP announced it would begin paying a 20-cent per share quarterly dividend, its first ever. Meanwhile, shares of EarthLink (nasdaq: ELNK - news - people ) were also knocked down. Through Tuesday, the stock had closed above $10 for 11 consecutive days, the first


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