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ISP severs contract with Microworkz

How will it bundle Net access now?

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Internet access device developer Microworkz had some real bad news yesterday when its ISP, EarthLink, pulled out of its deal with the company and leaving it unable to deliver on its promise of bundled Net access. An EarthLink spokesman told US newswires Microworkz was in breach of contract, so the ISP had no choice but to terminate its agreement. The spokesman would not say how Microworkz had broken their contract. Existing customers will continue to be provided with Internet access, said EarthLink, but new ones won't be. Microworkz' strategy has centred on offering ultra-cheap Net access devices, such as the $299 Webzter Jr or the $199 iToaster, with a period of free Internet access. Losing EarthLink's support will be a major blow to that plan. Still, Microworkz seems to be shifting its focus away from offering its hardware to end users and is targeting ISPs, allowing the company to focus on building systems rather than selling them. That certainly seems to be the reason behind the talks the company claims to be having with UK free ISP Freeserve and similar discussions with AOL. ®

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