| At the moment WildBlue Satellite has roughly 400,000 | | | | $79.95. Currently WildBlue speeds reach 1.5 Mbps and |
| customers, with 90% of that total having just dial-up | | | | start at 512 Kbps. |
| Internet service as their only alternative. The increase | | | | One challenge for WildBlue has been a lack of |
| in speed will allow WildBlue to compete in DSL and | | | | capacity to meet the demand for their service. This |
| Cable markets as well. | | | | has caused some potential customers to be acquired |
| ViaSat Inc. a Carlsbad, California satellite equipment | | | | by satellite Internet rival HughesNet, who is typically |
| maker for defense and consumer markets, | | | | higher priced and more costly to start up. The |
| announced on October 1 a deal, in principle to buy | | | | merger should alleviate this problem and accelerate |
| privately held WildBlue Communications Inc. of | | | | WildBlue's already robust growth. Great news for |
| Denver, Colorado, a high-speed Satellite Internet | | | | customers in rural areas where dialup is the only |
| provider, one of the nations top ISPs, for a reported | | | | other option and better news for customers that |
| $568 million in cash and stock. The move will allow | | | | have DSL and/or cable available for Internet, the |
| the two companies to reduce long-term costs and | | | | advent of another player in those markets can only |
| risk, as they seek to expand their position in the | | | | be good for consumers. |
| consumer broadband satellite Internet market. | | | | The deal is expected to close in early April, subject |
| The ViaSat SurfBeam networking system, which | | | | to regulatory clearance and other conditions. The final |
| pioneered the use of unprocessed Ka-band spot | | | | transaction will consist of $443 million in cash and |
| beam technology to provide increased capacity and | | | | another $125 million in newly issued ViaSat stock |
| lower the cost of bandwidth, currently powers | | | | shares. Based on how the Street has embraced this |
| WildBlue. ViaSat has plans to launch ViaSat1 a new | | | | deal the stock may come out to be even more |
| higher-capacity satellite in the first quarter of 2011, | | | | valuable than first anticipated. ViaSat shares rose |
| which will enable WildBlue to run at speeds between | | | | sharply to a new 52-week high at $28.34 per share. |
| 2-8 Megabits per second, similar to the speeds cable | | | | Stuck with dialup? You don't have to be. WildBlue |
| companies provide their customers. The increase in | | | | Satellite Internet is available everywhere and can |
| speed apparently will not be accompanied by a rate | | | | take you anywhere on the Internet you want to be. |
| increase, as ViaSat plans to keep WildBlue service | | | | Always on, high-speed and best of all, no phone line |
| prices at their current levels, ranging from $39.95 to | | | | necessary. |