USinternetworking Gains $100 Million Vote Of Confidence
USinternetworking has received a $100 million round of investments, which the company hopes will put an end to questions in the marketplace about its financial viability.USinternetworking has received a $100 million round of investments, which the company hopes will put an end to questions in the marketplace about its financial viability. With dozens of application service providers (ASPs) going under this year, USi said it has been hurt by concerns about its own financial status. USi CEO Andrew Stern said that potential customers have been reluctant to place their mission-critical applications in the Annapolis, Md., firms hands when even once blue-chip Internet firms such as Excite@Home and Exodus Communications are failing.
"What this investment means is USi now has the wherewithal to get through this tough period and emerge with a clean balance sheet," Stern said. "It also provides confidence to our current customers and new customers in our long-term viability."