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(WEB HOST INDUSTRY REVIEW) -- Internet solutions provider Sitestar (www.sitestar.net) announced on Monday it has purchased the Internet related assets of DONOBi Internet Services (www.donobi.com), which offers dial-up, DSL, high-speed fiber optic Internet, web hosting and colocation services.
The deal marks the company's sixth acquistion this year, having already acquired the dial-up and hosting customers and other assets of Oklahoma-based Internet service provider AdaNet in June, the DSL accounts and related assets from USA Telephone and modem dial solutions provider Dial Assurance in May, the Internet access customer base and assets of N2 The Net in April, and the assets of Internet service and hosting provider Comcation in March.
These acquisitions have all helped Sitestar to expand its growing customer base, gain new revenue streams, and generate new partnership deals with ISPs. With the DONOBi acquistion, Sitestar has now completed acquisitions in each quarter this fiscal year - a first for the company.
By acquiring DONOBi Internet Services, Sitestar is now able to expand into the Fiber optic Internet services market.
Fiber optic Internet services offers an alternative to broadband services allows for the delivery of high speeds and bandwidth, and is significantly affordable when compared to cable, DSL and wireless. Additionally, the medium is ideally suited to support services such as voice over IP and Internet Protocol TV.
"The DONOBi transaction includes an attractive mix of high-profit, 'sticky' residential and business customers and a compelling choice of broadband solutions that we can promote to win new customers or offer to existing customers who require faster connectivity," says Frank R. Erhartic, Jr., CEO for Sitestar. "We are particularly enthusiastic about the fiber service because it is growable, has minimal customer churn and the PUD is currently increasing the fiber optic network footprint. Plus, fiber is the perfect conduit to deliver additional recurring revenue service opportunities like VoIP or IPTV, whose viability we are investigating."
The company says it expects the acquisition to be a "smooth and seamless transition," with plans to consolidate infrastructure from its existing regional customer base to cut down on operating expenses.
Sitestar says it provides consumer and business-grade Internet access, wholesale managed modem services for downstream ISPs and web hosting to customers throughout the US and Canada.
Read Back Issues of WHIR Magazine
October 2009 - Web Hosting's All Star Team
This has been, for us, one of the most interesting, exciting and challenging build-ups to an issue of the magazine yet, Web Hosting's All Star Team. The balloting process was our first experiment with a kind of user participation we're planning to do a lot more with in the months to come. We had thousands of ballots submitted, with hundreds of write-in suggestions and a demonstration of user engagement that has us feeling super positive about the project.
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July 2009 - What am I Worth?
One of the interesting luxuries of working on a project like the printed WHIR magazine is that it allows us to play with things like our point of view from one issue to the next. In recent months we've been giving added attention to the kind of practical and applicable advice aimed at smaller hosts and resellers. This issue carries on with that point of view, asking, in our cover story, "what am I worth?" It's a complicated question without a clear-cut answer.
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May 2009 - The Blueprint for a Small Web Host
I was a little surprised by how difficult it became to see this idea through. We set out to assemble a blueprint for a small hosting business, but butted up pretty quickly against the general impossibility of covering all the territory that was out there to be covered. The basic constraints of a printed magazine, and the less-than-infinite amount of time we had available forced us to face the fact that we could never produce an exhaustive guide to starting a hosting company.
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