EarthLink offers home networking to DSL users

From...

By Sam Costello

(IDG) -- ISP EarthLink Monday announced that it will immediately begin offering home networking products from 2Wire to its broadband customers under a program called EarthLink Home Networking.

2Wire's products, called residential gateways, allow consumers to network multiple PCs and peripherals together in the home to let the machines share a single broadband Internet connection. Under terms of the deal, EarthLink will sell a co-branded version of 2Wire's HomePortal 100 and HomePortal 1000 residential gateways. The program will cost EarthLink DSL customers $10 a month on top of their existing fees, plus a one-time cost of $150 for the HomePortal 100 or $300 for the HomePortal 1000. The user will keep the HomePortal.

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The HomePortal 100 offers wired networking in homes, employing either Ethernet or HomePNA networking, which uses existing phone lines to connect devices. The HomePortal 1000 includes the same features, but adds a wireless component that allows computers to be linked using the 802.11b wireless standard. Additional wireless networking cards must be added to PCs to take advantage of 802.11b. Both devices also offer security features such as a firewall and VPN, options seen as crucial for always-on Internet connections.

According to the company's research, home networking will be the "first killer-app of broadband," said John Ellis, director of broadband products at EarthLink. EarthLink decided to begin the program after finding growing demand from its members, he said, noting that about 50 percent of EarthLink customers have more than one PC in their homes.

EarthLink chose 2Wire to supply its residential gateways because the company offers a "strong hardware platform, as well as the potential for a services platform," Ellis said. EarthLink and 2Wire will work together to offer a series of services to EarthLink customers, beginning with virus scan and security features and later adding music or video on demand, Ellis said.

Though the home networking market has yet to mature, around 15 percent of EarthLink's customers are expected to adopt the service, Ellis said, adding that "home networking (growth) will directly correlate with broadband growth." Ellis cited research that projects the total number of home networking customers in North America will reach 15.6 million by 2004.

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EarthLink
2Wire
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