New Edge Networks

The company's business model focused on delivering network connectivity services to small and medium-sized enterprises (SMEs), including those in semi-rural markets often underserved by larger carriers. New Edge Networks offered a flexible blend of access technologies, allowing businesses to connect their locations using the best available options, from DSL and T1 lines to fiber-optic connections. A key part of its value proposition was providing managed network services and network-based VPNs that supported crucial business functions like point-of-sale (POS) transactions and inventory control. For retailers and restaurants, the company offered direct, high-speed connections to payment processors, significantly speeding up transaction times compared to dial-up.

After its founding, New Edge Networks secured significant venture funding, raising a total of $102 million over two rounds from investors including Accel, Crosspoint Venture Partners, Goldman Sachs, and Intel Capital. This capital fueled its growth and network expansion. A major milestone occurred in December 2005 when EarthLink announced its agreement to acquire New Edge Networks for approximately $144 million in cash and stock. The acquisition, completed in 2006, was a strategic move by EarthLink to penetrate the SME market and leverage New Edge's robust data communications network. Following the acquisition, New Edge Networks continued to operate as a wholly-owned subsidiary under its own brand from its headquarters in Vancouver, Washington, with Dan Moffat remaining as president.