While the national Internet carrier for Hollinet.com announced
Monday it would terminate the Hollister-based company’s DSL service
today because of differences during negotiations, the two sides
came to an agreement not to abruptly halt local service.
While the national Internet carrier for Hollinet.com announced Monday it would terminate the Hollister-based company’s DSL service today because of differences during negotiations, the two sides came to an agreement not to abruptly halt local service.
“We have a commitment that nobody will get cut off,” said Brent Olson, chief engineer for Hollinet.
New Edge Network is a national wholesaler of DSL – Digital Subscriber Line, a high-speed Internet connection – and Hollinet is the largest local retailer of Internet services in San Benito County. Aside from DSL, Hollinet offers other Internet services – including dial-up, Web site maintenance and e-mail.
Olson said both companies have made attempts this week to notify local DSL customers that Hollinet would no longer offer the service. New Edge Network, through its own direct carrier Transedge, is offering comparable prices and service to Hollinet’s DSL customers in what both sides have called an “orderly transition.”
After meetings between the two companies Tuesday, New Edge Network agreed against the planned abrupt interruption of service for local Hollinet DSL customers, according to officials from both sides. The disruption in service was scheduled for the close of business hours today.
Now, each DSL customer will be handled on a “case-by-case” basis to avoid any inconvenience, Olson said. If Hollinet or New Edge Network could not contact a customer, that person or business will not be suddenly cut off. He said the agreement also includes customers who have not made a decision whether to continue service with Transedge or have not finished paperwork for a transition.
“None of the customers, if they so choose, will have an abrupt interruption,” Olson said.
However, if a customer is contacted and decides to go with an different DSL carrier – aside from Transedge – that may require additional hookups and time, and the customer may experience an interruption of service, Olson said.
Months ago Hollinet started planning an “orderly transition” out of offering DSL because of its shrinking profit margins and growing competition from large telephone companies. The two sides were negotiating the terms of the transition for customers from Hollinet to New Edge Network’s Transedge for DSL.
Negotiators for New Edge Network had been under the impression Hollinet would pay an “orderly transition fee” to ensure that New Edge Network would not lose money during the switch. Hollinet’s negotiation team misunderstood the deal, according to Olson, and thought the transition fee was no longer necessary.
After the “misunderstanding,” according to Hollinet officials, New Edge Network decided to suddenly terminate service, Olson said.
After first learning from a concerned customer Monday of New Edge Network’s decision for an abrupt cancellation, “We were as surprised as anyone,” said Darlene Colvin, president of Hollinet. She said the news immediately “caused hysteria” at Hollinet.
Olson said Hollinet received many calls from customers Monday and Tuesday and that customer service has been Hollinet’s main concern during the ordeal.
“The Internet is no longer a novelty… It has become an integral part of everyday life for millions of people and many people in San Benito County,” Olson said.
Aside from DSL, other services offered by Hollinet are not in jeopardy, Olson said, adding that DSL is only a small portion of the company’s business.