SkyWi Network Shut Down by Qwest

The network of SkyWi, Inc., New Mexico’s largest independently owned and operated ISP, was shut down by Qwest, affecting tens of thousands of internet and phone customers among six states.

Yesterday, Qwest Communications shut down the network of SkyWi, Inc., New Mexico’s largest independently owned and operated ISP, leaving tens of thousands of customers without service. The customers affected subscribed to services under One Connect IP and Zianet, wholly owned subsidiaries of SkyWi, and include residential, business and government accounts in New Mexico, Idaho, Utah, Arizona, Colorado and Texas.

“We believe that we are under attack by Qwest Communications. SkyWi filed a lawsuit against Qwest in federal court in New Mexico earlier in December regarding Qwest’s predatory, anti-competitive and unfair trade practices. We itemized Qwest’s anti-trust violations, as well as racketeering activities, invoking the Clayton Act and RICO statutes. Qwest has now decided to discontinue the service it had provided to SkyWi,” states Jack Leach, SkyWi’s President.

SkyWi’s Complaint, filed on December 5, 2008, cites multiple claims of Qwest’s predatory, anti-competitive and unfair trade practices and of its attempts to force SkyWi and One Connect IP/Zianet to close its operations as an Internet service provider (ISP) which compete directly with Qwest. SkyWi has requested a preliminary injunction be entered against Qwest ordering it to treat SkyWi as it would any other company and to provide access and services free from unfair trade practices. SkyWi has also petitioned for the disqualification of Qwest’s legal representation, on the basis that Qwest’s legal counsel had previously represented One Connect IP. The federal judge scheduled a hearing on the disqualification request for January 5, 2009 and re-scheduled the hearing on SkyWi’s request for a preliminary injunction for January 13, 2009.

“We made a reasonable and fair offer to Qwest to avoid interruption of services until these hearings took place. But that offer was refused by Qwest,” explains Leach. “We are pursuing legal actions against Qwest to reinstate a Temporary Restraining Order issued previously by a state court against Qwest enjoining Qwest from disconnecting SkyWi from services, and SkyWi is working diligently on solutions to insulate ourselves and our customers from Qwest’s predatory practices, the same practices which gave rise to SkyWi’s lawsuit.

“Even so, much damage has been done. Businesses, government offices and residential customers are experiencing dramatic repercussions in economic terms and educational opportunities.”

SkyWi is headquartered in Albuquerque, NM and maintains offices in Las Cruces, NM; Fort Worth, TX; Salt Lake City, UT; Boise, ID; and Idaho Falls, ID.

About SkyWi, Inc.

SkyWi builds, owns, and operates a facilities-based, state-of-the-art, rural and suburban Internet services business. The company focuses on delivering enterprise-class broadband services, carrier-class reliability, and superior customer service to areas traditionally overlooked and neglected by major national carriers and service providers.

http://www.skywi.com

Website: http://www.skywi.com/