Prodigy is the ISP for SBC's broadband customers. Prodigy has about 2.7 million subscribers, an increasing number of which are from users of DSL, or digital subscriber line, technology. To help absorb the red ink, Prodigy is hoping its new revenue model, based on SBC's 43 percent ownership of the company, will generate a new wave of cash flow. We also had to pay SBC a commission. With the new deal, SBC will receive revenue from DSL and business dial-up subscription fees while providing networking, customer billing and line access.
Investors seem to have liked the deal.
It's unlikely that Prodigy, which will continue to sell the Internet services under its brand name, will reach the level of an AOL or MSN, but it has a greater chance given its relationship with SBC, says Lancaster, The Yankee Group analyst. But it remains to be seen whether SBC will continue to need Prodigy to sell its broadband services, he says. Financial Industries Corp. FIC is the developer and leasing agent for River Place Pointe. Prodigy, the largest tenant at River Place Pointe, has an option to keep its current 35,000 square feet as well as take an additional 45,000 square feet in Building 4, Casey says. Earliest info on new businesses, homeowners Sales Prospecting Center Real info, real opportunities.