Juno and Netzero become pals.
  06/08/2001 4:59:33 AM MDT Albuquerque, Nm
  By Dustin D. Brand; Owner AMO

Previously fighting in court, now joining forces, Juno and Netzero agree to merge.   On January 8th of this year, Netzero sued Juno for patent infringment and won a restraining order. Last June, Juno sued both Netzero and Qualcomm for patent infrigement. Now Juno and Netzero are merging.

  Does if you can't beat them join them come to your mind? Good, that's exactly what this is.

  FREE ISPS NetZero and Juno Online Services announced plans Thursday to merge, creating what they said would be the U.S.'s second-largest ISP after America Online.

  The combined company would have more than 7 million active users based on figures for March 2001, the companies said in a statement. Of that figure, one million are paying subscribers, while the other 6 million use free Internet services offered by the two firms.

  Both NetZero and Juno would become wholly-owned subsidiaries of the newly formed company, to be called United Online. The combined company would continue to offer free access under the NetZero brand, while paying services would be offered under the Juno brand. The deal is expected to close by the end of the year subject to regulatory approvals and other customary conditions, the companies said.

  NetZero, Juno and Bluelight.com, the largest free isps left, are all not doing well profit wise.

  Mark Goldston, chairman and chief executive officer of NetZero, will become chairman, president and CEO of United Online, while Charles Hilliard, NetZero's current chief financial officer, will become CFO of the combined company.

  All outstanding shares of NetZero and Juno would be exchanged for shares in the new company, which would be traded on the Nasdaq stock market. NetZero shareholders would receive 0.200 shares of United Online for each share of NetZero stock, while Juno shareholders would exchange each one of their shares for 0.357 shares of the new venture.

  The companies' combined revenue was $41.5 million for the quarter ending March 31, they said in the statement.