SoftNet Systems Announces SoftNet Zone Initiative

SoftNet Systems, a provider of broadband services, has joined forces with four global Internet companies to create SoftNet Zone, a new business initiative aimed at bringing easy-to-access mobile computing and Internet services to business travelers worldwide. With initial funding of $100 million, SoftNet Zone will operate local area networks and computing business service centers in public facilities frequented by business travelers, such as major airports, convention centers, and hotels.

Key Takeaways:

• SoftNet Zone will provide business travelers with instantaneous access to e-mail, faxes, and other Internet services, making it easier for them to stay connected while on the move.
• The service will be available through three tiers of service options: a per-minute charge of between 28 to 50 cents, a monthly subscription option at between $19 to $39 per month, and corporate licenses available subject to individual pricing negotiation.
• SoftNet Zone will have a skilled in-person "Cyber-concierge" at every airport, hotel, and convention center location to provide technical support and solve modem installation and compatibility problems.
• The company has agreed to acquire Laptop Lane, Ltd., a leading provider of mobile computing and communications services in airports, to expand its customer base and services.

Statistics:

• Initial funding for SoftNet Zone: $100 million
• Number of initial service locations: airports, convention centers, hotels
• Expected number of airports with Laptop Lane service by the end of the year: 21 (12 current airports + 9 new airports)
• Number of shares of SoftNet stock paid to Laptop Lane: 1 million
• Amount of debt assumed by SoftNet as part of the Laptop Lane acquisition: approximately $3.5 million

Sources:

• SoftNet Systems, Inc. [NASDAQ:SOFN]
• CMGI [NASDAQ:CMGI]
• Compaq Computer Corporation [NYSE:CPQ]
• Nokia Corporation [NYSE:NOK]
• Cisco Systems, Inc. [NASDAQ:CSCO]
• Newsbytes.com
• Laptop Lane, Ltd.