Separately, Excite@Home and Essent also announced that they have formed a new strategic alliance under which Excite@Home will continue to provide core technologies and broadband services to @Home Benelux. The alliance enables broadband expert Excite@Home to focus on its core competency providing core technologies and services to cable operators and establishes cable leader Essent Kabelcom as the customer that benefits from these state-of-the-art offerings.
Under this new relationship, Excite@Home will receive recurring revenue from technology licensing fees as well as from providing technology solutions.
Today’s news means that @Home Benelux will have a closer relationship with Essent Kabelcom. We look forward to continuing to serve customers who value high-speed Internet access and to strengthening our current offerings, said Paul Ummels, acting CEO Essent Kabelcom.
This new partnership helps us to streamline our business and showcase our next-generation business model, said Patti Hart, Excite@Home’s chairman and CEO. We are entering into a business relationship that will create benefits for our partners and us, including ongoing, recurring revenue opportunities. This model is a good example of how we envision other relationships with cable operators could be structured; ultimately making Excite@Home a provider of business-to-business services for last-mile owners.
Today’s transaction ensures continued services to customers of @Home Benelux and @Work.
Nils Kijkuit, CEO of @Home Benelux added, By strengthening our ties with Essent and ensuring ongoing access to the @Home technology, we are able to guarantee the continuity of services to our clients and we are well positioned for further growth.
SOURCE: COMPANY PRESS RELEASE
