The business division of internet-over-cable pioneer @Home Network Inc, has won its first major foray into the hotel business internet access business with a deal with the Fourth Communications Network Inc (4th Network), which will see @Work Network Inc becomes preferred network supplier to 4th Network’s customers in the regions in which @Work operates. As part of the deal, Redwood City, California-based @Home gets a 1.5% stake in 4th Network, worth around $2.5m, although the company is reportedly readying its initial public offering, although 4th Network chief executive Scott Lewis would not confirm that. The agreement effectively makes @Work the LAN supplier to 4th Network, linking its fiber network to a hub in the hotel, and then via ethernet into the rooms, where an ethernet connection for laptops and personal computers is provided. The system is running at the moment in three hotels in California and will be rolled out nationwide next year in a few hundred next year, leading to thousands in the year that follow, said Lewis. 4th Network has deals with such chains as Hilton, Marriott, Hyatt, Radisson and Sheraton. It claims long-term agreements with these companies and others to provide internet access to more than 500,000 hotel rooms worldwide. Lewis added that the pair will include various value-added services over the @Work network, including virtual private networking, linking back directly to businesses. Separately, @Work says its tele-commuting service, which is on trial with the employees of Sun Microsystems Inc and Hewlett-Packard Co, will be rolling out early next year. It’s signed deals with Comcast Corp, Cox Communications and Tele- Communications Inc – all of which are significant investors in @Home. This system uses the company’s cable network over the last mile following on from its fiber network. The company will be targeting the Fortune 5000’s IS departments, offering it as a virtual private network (VPN) service. San Jose, California-based 4th Network’s backers include Mitsui & Co, Softbank Corp, Dialog Corp and WI Harper.