FTC Approves ISP Deals With AOL TW

As part of its $106 billion merger between America Online and Time Warner, the company has to allow at least three ISPs to use its cable systems for service.

by @NY Staff [December 31, 2001]

The Federal Trade Commission has approved broadband Internet Service Provider agreements that AOL Time Warner has struck with four ISPs around the country.

Three of the providers would use AOL Time Warner's cable systems to offer competing broadband services in its regional markets: New York Connect.Net, Ltd., which operates in the New York City cable division of AOL Time Warner; Internet Junction Corp. of Tampa, Fla., which would cover Tampa Bay and Central Florida cable divisions, and STIC.NET, of San Antonio, which also covers the AOL Time Warner's Houston and Austin cable divisions.

The FTC approved the fourth provider, Inter.net US. Ltd. of Reston, Va., to operate in all the Time Warner Cable divisions nationwide. Inter.net is the former dialup business of PSINet. Inter.net was purchased from PSINet by its managers and is now privately owned.

As part of its approval of the $106 billion merger between America Online and Time Warner, the FTC stipulated that AOL Time Warner had to strike open access agreements to allow at least three ISPs to offer competing broadband services.

In addition, the FTC said AOL Tim Warner has requested approval of Web One, Inc. and the alternative cable broadband ISP service agreement entered into between Time Warner Cable (TWC) and Web One to provide cable broadband ISP service in Time Warner Cable's Kansas City division.

The commission said it is accepting public comments on the proposed application until January 22, 2002.

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