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Earthlink Death Watch Postponed
Posts third quarter profit after significant cost cutting
by Karl Bode 09:53AM Tuesday Oct 28 2008
Earthlink lost $80 million on Muni-Fi last year, their investments in broadband over powerline (BPL) have gone nowhere, the government says they can't share access to next-generation broadband networks, and their effort to run an MVNO (Helio) flamed out spectacularly. In addition, they recently laid off a swath of employees and suggested their hope for survival lays in the lap of refocusing on dial-up. If there's a company that's on death watch, it's Earthlink -- yet the company's latest quarterly earnings indicate the company actually posted a $55 million profit last quarter. There's still serious questions about your future when your primary hope lies with a dying technology -- but for now Earthlink lives on.....

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Hpower
Roflmao

join:2000-06-08
Glendale, CA

Sucks...

Dialup....haha oh man. It's going to be sad to see Earthlink go....
--
The Internet is about to go down....it is actually.

88615298
Premium
join:2004-07-28
West Tenness

Re: Sucks...

said by Hpower:

Dialup....haha oh man. It's going to be sad to see Earthlink go....
If you consider 20% of the US it's the only REAL option for internet. That's more customers than ANY broadband ISP. And let's face it those 20% aren't getting broadband anytime soon because the broadband ISP don't think they can make enough money off of them.

vghlt

@verizon.net
YAYYYY, chalk one up for the cable and telephone companys.
Sad news indeed!!!!

zoinc

@sprintlink.net

AOL

CNET says Earthlink may be interested in purchasing AOL dial-up -- even a slower death...

chris
Poor Impulse Control
Premium
join:2000-08-13
Middletown, CT

Re: AOL

said by zoinc :

CNET says Earthlink may be interested in purchasing AOL dial-up -- even a slower death...
Dial up, slower - AOL
Slower death - get it? BWAHAHAH

dbennett1106

join:2000-05-28
Ukiah, CA

Earthlink

Guess I'd better start shopping around for a new ISP...

jimbo48

join:2000-11-17
Hayward, CA

Re: Earthlink

Which means I'm doomed to use Comcrap as an ISP. I could go with AT&T or some other DSL provider with their blazing 1.5 MB/sec download DSL that peaks at 1.1 (on a good day) but I need something a bit more robust than 1.5 to work from home and on my dime!. Talk about rock and a hard spot choices!

battleop

join:2005-09-28
00000

Obama wining could help them out.

The Democrats favor the smaller ISPs (Telcom act of 96) where the Republicans favor large ISPs (DSL Deregulation). If Obama wins this could indirectly help companies like EarthLink.

loli
Premium
join:2002-08-26
South Richmond Hill, NY

Re: Obama wining could help them out.

uh oh

T1 Rocky

join:2002-11-15
Dallas, TX
said by battleop:

The Democrats favor the smaller ISPs (Telcom act of 96) where the Republicans favor large ISPs (DSL Deregulation). If Obama wins this could indirectly help companies like EarthLink.
Both of them favor the ILECs and both of them receive lobbying funds from AT&T, Comcast and Verizon to the tune of millions of dollars. But the Telcos definately favor the Republican party.

I hope Earthlink pulls it out. Let's face it, even if someone with ethics were put in the White House and dictated that they were going to enforce the Telecom Act of 1996 and make the telcos into "dumb pipes" there arent any ISP's left to support that model. The telcos and cable companies have cornered the ISP industry over the last 10 years and that's the way its going to be. Kids coming out of college right now that are in telecom don't even understand the concept that an ISP and a telco are not the same thing. It's just the way its going to be from now on. And its the reason that we are number 22 in the world in terms of braodband penetration despite being a distant number one in terms of wealth and resources. Eliminate competition and everyone loses.

Earthlink is a last fading reminder that there was once hope for competition when it came to internet service.

BTW, how bout that AT&T stock? It's down to $25! I love it!!
olegy

join:2003-06-02
San Diego, CA

better to survive

I'd prefer them to survive - the only alternative to Road Runner - in the light of incoming TW download caps.
I remember days several years ago, getting threats from RR about excessive downloads - like I'm alone pulling out 5% of all bandwidth in my node of 2000 users. Once switched to Earthlink all that harassment ended without any changes on my side.

Anon04445

@mindspring.com

Re: better to survive

Oh no! If Earthlink die,It means TWC will force me to bundle up Road Runner and i don't want their TV or Digital Phone service, and if i don't bundle up they will charge me 15$ extra for just having Road Runner, DAMN IT! . it will be a sad day to see Earthlink go
Mjolner

join:2007-04-19
Flushing, NY
said by olegy:

I'd prefer them to survive - the only alternative to Road Runner - in the light of incoming TW download caps.
I remember days several years ago, getting threats from RR about excessive downloads - like I'm alone pulling out 5% of all bandwidth in my node of 2000 users. Once switched to Earthlink all that harassment ended without any changes on my side.
I'm on Earthlink Cable, which is piggy-backed on Time Warner's RR infrastructure. It's the best of both worlds, full cable speed (10Mbs down/ 512kbs up) and no download caps. The price is the same as I was paying for Earthlink DSL (1.5mbs/384kbs) and it is much more reliable than the Covad DSL over Verizon's lines.

Earthlink wants the dial-up business because dial-ups pay a relatively large amount for comparatively little service--providing the best mark-up of the user classes. These casual users will exist for a long time, so it's not a bad plan; but it's a life-preserver, not a plan for growth and success-- merely survival.

What will help all ISPs survive is a improvement in the broadband infrastructure nationally or continent-wide. A plan similar to the one North Carolina implemented a few years ago to increase its information infrastructure bandwidth by several hundred percent- to stay ahead of the curve.

Let's hope the new administration realizes that information technology is essential to a healthy economy, and it invests in the backbone.
voipdabbler

join:2006-04-27
Kalispell, MT

Don't laugh.

The economy may boost dial up subscriptions. Things have not hit rock bottom yet and recovery won't begin until we've hit the bottom. If this recession is anything like the one in the late 70's and early 80's, we're going to see unemployment in double digits. (If you aren't old enough to have lived through it, go to your local library and look up newspapers from Ronald Reagan's first term. Unemployment went over 10 percent--that's the median figure and it was higher in certain areas.) People just won't be able to afford expensive broadband. Cheap dial up might be slow, but for those looking for work and running out of unemployment, it's still a connection to the world and broadens their job search.

Dogfather
Premium
join:2007-12-26
Laguna Hills, CA

1 edit

Hold out

The next administration may turn the whole next-gen line sharing thing back around.

As much as ELN has gone down hill, they would be missed as they were my first ISP (Netcom).
danry25
Premium
join:2008-05-21
Seattle, WA

earthlink is GREAT

I love their hsi cable service, its the best.

TMMerlin
The Devil made me do it

join:2003-06-19
Oxford, MI
Reviews:
·AT&T U-Verse

Re: earthlink is GREAT

Hey ..the longer they survive the longer I get GREAT DSL for $29.95/mo ..and when I renew for a year, I generally get three months for free (yah, 15 month contract dates).My DSL is solid as a rock for about 2 years after (only had a few minor problems previously)I got a new DSL mode.
Sarentack

join:2008-02-07
Lumberton, MS
Reviews:
·CableOne

Heh

Then if they offer Dialup, you still better off finding Dialup service from say..... Netzero, AT&T, and such which offer probably a better dialup service then Earthlink and it be cheaper.

Now I had Dialup with Earthlink years ago and it was good except for the problem in which Earthlink never sent out a bill, you were often cut off because Earthlink dont want to print a piece of paper and send out to you, but Earthlink of then and now is far different.

its no surprise to me they are dying when;

#1 Your DSL Service sucks

#2 you charge twice as much as the competition

#3 Your required to have active phone services in most areas, then it has to be certain phone service.

#4 Your tech support is based in India, and they dont even have enough knowledge to turn on a PC probably.

Thats the recipe to failing.