Hotmail wireless carrier files for Chapter 11

Wireless carrier Arch Wireless has filed for Chapter 11 bankruptcy protection but insists its reorganisation will not disrupt...

Wireless carrier Arch Wireless has filed for Chapter 11 bankruptcy protection but insists its reorganisation will not disrupt services for its nine million users.

The company recently completed a deal with Microsoft to provide e-mail and Internet services for Microsoft's MSN branded two-way pager that allows subscribers of the free e-mail service Hotmail to send and receive messages while away from home or office.

The two companies released a MSN-branded version of Motorola Talkabout T900 in November after announcing the partnership in March.

Arch Wireless also released its own branded Motorola Talkabout T900, called the Arch Webster. The device allows users to receive e-mails sent to accounts with certain dial-up Internet service providers and to Web-based e-mail accounts, including accounts on AOL, Yahoo and Hotmail.

Motient, another US wireless network provider has also filed a voluntary petition for reorganisation under Chapter 11. The company provides a wireless service for users of Research in Motion's Blackberry device and developed the MobileModem which enables user of Palm's Palm V series handhelds to access e-mail and the Internet through its wireless network.

Motient said its reorganisation plan would rid the company of $40m (£27m) in annual interest payments. It will continue to deliver uninterrupted service on its wireless data network and support 250,000 subscribers until it completes the restructuring in the first half of 2002, the company said.

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