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News and comments on community broadband networks, the communities deploying them and the technologies that support them. Published by Denise Frey and Al Bonnyman.

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Wednesday, January 07, 2004

 

Tennessee: Candidate for top utility post criticizes Memphis Networx investment

Joseph Lee, the Mayor's nominee to run the city's Memphis Light, Gas and Water utility, is criticizing the utility's $32 million investment in wholesale fiber optic carrier Memphis Networx. Lee's nomination is running into resistance from City Council; all view him as talented, but some want the next utility president to have utility experience. Meanwhile, Memphis Networx' CEO is pointing out that the carrier is meeting or exceeding revenues projected in its' business plan; he expects the company to reach the break-even point in 2005.

Memphis Angels LLC, a local group of business leaders (including the CEO of Fed Ex) is the other investor in Memphis Networx; these investors saw the network as a key way to improve the city's economy.

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