A SPAT is brewing between leading dial-up Internet Service Provider M-Web, and Absa Bank, which three months ago introduced its own free ISP service. On Monday, M-Web sent out a press release saying that Absa and its Internet partner Affinity, are misleading the public in suggesting that their free ISP service will survive. M-Web chief executive Antonie Roux argued in the release that free ISP services have not proven to be viable elsewhere in the world. He said the largest ISP in the world continues to be US-based America Online, which charges its 30-million US subscribers and 4-million European subscribers. He also quoted merchant bank UBS Warburg as saying free ISPs are “more akin to publicity stunts”. Roux then said said that Freeserve, the first free UK-based ISP, is now charging subscribers. The Freeserve subscription services are in fact supplementing its free services, not replacing them. Absa said it will respond to Roux’s comments on Tuesday, after consulting its lawyers.
* Absa late on Tuesday issued a statement refuting M-Web’s comments, and making no mention of any possible legal action.