DOW JONES NEWSWIRES
January 30, 2006; Page B6
EarthLink Inc. plans to begin offering a high-speed Internet and
online-calling package for consumers in three metropolitan markets
an expanded partnership with Covad Communications Group Inc.
EarthLink, based in Atlanta, was set to offer the service in the San
Francisco and San Jose, Calif., area, as well as Dallas and Seattle
starting this week.
The Covad partnership, terms of which weren’t disclosed, will allow
Internet-service provider to offer a competitive digital-subscriber
or DSL, and Internet-telephone service without having its own
with telecommunications companies.
That is important because the Federal Communications Commission ruled
August that phone companies no longer would be required to lease line
capacity to competing ISPs like EarthLink and Time Warner Inc.’s
Online under common carrier regulations, threatening the ISPs’ ability
offer competitively priced DSL services.
However, common carrier rules still require incumbent carriers to
connections between consumers’ homes and their central offices to
carriers like Covad.
“By us moving in this direction, we are jumping on the piece of the
regulation that remains intact,” said Jim Bagnato, EarthLink’s
EarthLink said it intends to bring its offering with Covad to other
Covad, San Jose, Calif., whose relationship with EarthLink dates back
least seven years, has access to 40 million households. Its top
New York, San Francisco, Los Angeles and Washington.