EarthLink to Purchase a Segment of GoAmerica’s Subscriber Base
Atlanta & Hackensack, NJ, Sept. 26, 2002 – EarthLink Inc. (NASDAQ: ELNK) one of the nation’s leading Internet service providers, and GoAmerica, Inc. (NASDAQ: GOAM), a leading wireless data solutions provider, today announced a strategic alliance to develop, market and support a comprehensive suite of enterprise and consumer wireless data services. GoAmerica today also announced plans to realign its business around its award-winning Go.Web(tm) technology and value-added services, wireless
data expertise and leading distribution relationships.
As part of the GoAmerica-EarthLink alliance, GoAmerica will sell its cellular digital packet data (CDPD) -networked subscribers and a segment of its Cingular and Motient network subscriber base to EarthLink, which will continue to offer these subscribers GoAmerica’s services bundled with airtime, billing and customer support. GoAmerica and EarthLink will work together to ensure a smooth transition of these subscribers and expect to complete the transition by the end of this year. Financial terms of this
subscriber acquisition were not disclosed at this time.
Other key components of this alliance include the following:
∑ GoAmerica will market and sell all EarthLink mobile solutions through GoAmerica’s extensive sales force and channel partnerships. In doing so, EarthLink will leverage GoAmerica’s strong ties to the enterprise market to expand its presence in that arena.
∑ EarthLink will become GoAmerica’s provider for billing, customer care and network services.
∑ Both companies will collaborate on technology development to meet the needs of both enterprise and consumer wireless data users. This collaboration will allow EarthLink to provide mobile services to current and future customers on a comprehensive range of platforms. It also will enable EarthLink to better leverage its infrastructure to pursue carrier partnership opportunities that bundle EarthLink’s traditional ISP services for mobile customers (either in an EarthLink-branded or wholesale
∑ EarthLink will utilize GoAmerica’s Go.Web technology as a key component for EarthLink’s next-generation wireless Web offerings, and GoAmerica will further develop EarthLink-branded wireless data services for the wireless consumer market.
“Wireless plays an important role in EarthLink’s long term growth strategy,” said Mike Lunsford, executive vice president of EarthLink’s Customer Experience and Everywhere initiatives. “GoAmerica’s pioneering technology and extensive enterprise relationships will let us better scale the breadth and depth of our wireless products and services. This alliance will help us to continue delivering compelling, value-added solutions with best-in-class support across all major wireless network technologies and device platforms.” “We are thrilled to enter into such a comprehensive strategic relationship with EarthLink,” said Aaron Dobrinsky, CEO of GoAmerica. “EarthLink’s extensive wireless offerings, strong reputation, and leadership in delivering value-added services make EarthLink an excellent partner for GoAmerica. Together, we can offer a powerful combination of expertise in behind-the-firewall technology and ‘white glove’ end-user support to both EarthLink customers and the corporate enterprise.”
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