High Speed Access Corp. recognizes
that there are two ways to quickly expand its services in the broadband
arena; build a business, or buy one.
HSA Monday entered into a definitive agreement to
acquire Digital
Chainsaw, a Florida-based Web hosting and systems integration firm
doing business as NetPerformance.
NetPerformance was formed in 1999 from the merger of U. S. Technologies and
Digital Chainsaw. While financial terms of the transaction were not
disclosed, the acquisition marks a move by HSA to diversify its commercial
broadband portfolio and include Web hosting and Virtual Private Network
services.
HSA currently provides cable, digital subscriber line and IP-based
telephony services to residential and commercial customers in more than 140
markets nationwide.
The broadband service provider recently announced the expansion of its
digital subscriber line service strategy in targeted U.S. markets. The plan
includes launching DSL services in five major markets this year and
approximately two dozen other non-cable markets by the end of next year.
Additionally, HSA recently launched a $100 million commitment to rollout
Internet telephony services, funded in part by an equity investment made by
Lucent Technologies Inc.
Dan O’Brien, HSA president and chief executive officer, said the
acquisition underscores its commitment to the staying on target with its
commercial DSL expansion plan.
“HSA has made excellent strides in building an infrastructure that
addresses the growing demand for commercial broadband services,” O’Brien
said. “By adding the strength of NetPerformance to our cable modem, DSL and
IP telephony initiatives, HAS will enjoy the opportunity to provide
businesses a dynamic end-to-end solution for all of their web server
management and maintenance needs.”
O’Brien added that the NetPerformance acquisition means that HAS is capable
of offering a complete suit of high-speed connectivity services, Web design
and hosting, as well as integrated broadband communications.
“Not only will we offer businesses broadband connectivity services and
critical web hosting tools that are secure, easy to use and affordable, but
we will give our affiliates a tremendous growth opportunity in the
commercial sector,” O’Brien said.
NetPerformance reported it earned $4.3 million in business revenues last
year. It currently provides Web hosting, e-commerce, design systems
integration and related services to more than 8,500 commercial customers.
B. Judson Hennington, NetPerformance president and chief executive officer,
said it chose to work with HSA because of its strong backing, experienced
customer support services and advanced network operations center.
“By combining our integrated, end-to-end Internet-based solutions with
HSA’s commercial reach, business customers will be able to experience one
of the best suite of services the marketplace has to offer,” Hennington said.
NetPerformance will be a wholly owned subsidiary of HSA following the
completion of the deal next month.