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ZipLink Signs $25 Million Pact With Spinway.com

Wholesale Internet service provider ZipLink Inc. Tuesday signed a $25 million Internet connectivity agreement with Spinway.com to further extend the free Internet access company's footprint throughout the U.S. and Canada.

Christopher Jenkins, ZipLink (ZIPL) president said the new two-year agreement firmly establishes its leadership in the free ISP market segment.

Danny Robinson, Spinway.com chairman and chief executive officer, said the deal would allow the firm to rabidly expand its services in Canada.

"It will allow us to increase our footprint and make Spinway.com's ISP Program available to all fee-based ISPs in the U.S. and Canada," Robinson said.

This latest agreement marks an extension of the existing relationship business between the two companies forged earlier this year. In January, ZipLink signed an agreement to provide Spinway.com with national wholesale Internet connectivity in the U.S.

As a result of the original deal, Spinway.com introduced its ISP program in February. The Spinway.com ISP Program provides fee-based ISPs with the opportunity to provide a hybrid pay and free service co-branded specifically for the provider. The program is designed to help ISPs expand and retain their customer base through a hybrid revenue mix of ad supported free access services.

Spinway.com's partners include NBCi, Kmart's online free Internet access company BlueLight.com, and Tutopia.com, IFX Corp.'s Latin American ad subsidized Internet access.