Is millennium digital media calling it quits? Company sells off majority of cable subscriber accounts.Millennium Digital Media Millennium Digital Media, based in St. Louis, Missouri, is a cable company. Founded in 1997, it provides service to parts of Maryland, Michigan, Washington, and Oregon. Based on pending industry acquisitions, Millennium is currently ranked among the twenty-five largest cable (No. 41 on the BE INDUSTRIAL/SERVICE 100 list with $102.3 million in sales) recently signed an agreement to sell roughly 75,000 of its cable subscriber accounts to Wave Division Holdings L.L.C., an Internet Internet Publicly accessible computer network connecting many smaller networks from around the world. It grew out of a U.S. Defense Department program called ARPANET (Advanced Research Projects Agency Network), established in 1969 with connections between computers at the and phone services company in Kirkland, Washington Kirkland is a city in King County, Washington, United States. It is a suburb of Seattle located on the Eastside (of Lake Washington). As of April 1, 2005, the city had an estimated population of 45,740, making Kirkland the eighth largest city in King County and the eighteenth , for an undisclosed sum. The sale, which was valued at $150 million to $200 million, represents about two-thirds of Millennium's subscribers. Millennium, a St. Louis-based provider of cable television and telecommunication telecommunication Communication between parties at a distance from one another. Modern telecommunication systems—capable of transmitting telephone, fax, data, radio, or television signals—can transmit large volumes of information over long distances. services, will retain about 44,000 cable subscribers in Anne Arundel County, Maryland Anne Arundel County is a county located in the U.S. state of Maryland. As of 2000, the population was 489,656. The estimated population for 2003 was 506,620. It was named for Anne Arundell, a member of the ancient family of Arundells in Cornwall, England and the wife of . The agreement lists a total of about 75,000 subscriber accounts in Washington, Oregon, and Michigan. Millennium's revenues have remained relatively flat over the past several years, dipping from $106 million in 2003 to $102 million in 2005. Peter Smith, senior vice president of marketing at Millennium, readily dismisses the notion and maintains that the move to sell the cable systems is a sound and standard business decision. "We have every intention of remaining in the cable TV business for a long time," he says. Adi Kishore, a senior analyst in media and entertainment strategies at the Yankee Group (the Yankee Group, Boston, MA, www.yankeegroup.com) A major market research, analysis and consulting firm founded in 1970 by Howard Anderson. It provides general consulting and strategic planning in the computer and communications field. Research Inc. in Boston, says the competitive pressures in the market and the need for size in order to remain competitive are becoming more apparent. "Even if this cable company becomes smaller, leaner, and more efficient, that still may not be enough to keep it around in the long run," he says. |
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