Wi-Fi Hotspots Provider The Cloud Acquires Airnyx and Expands into Germany


The Cloud builds on sustained usage growth of 7% per week

-/04 April, 2005 - Wi-Fi Technology News/-The Cloud today announced its expansion into Germany with the acquisition of Airnyx and its nationwide network of WiFi hotspots, a deal which will immediately make the company the third largest WiFi network operator in Germany. The Cloud plans rapid growth in Germany and the deployment of a multiple service provider network similar to that which it manages in the UK, where O2 and BT Openzone are amongst its service provider customers.

Today?s announcement also follows on from The Cloud?s success in rolling out a nationwide network in Sweden, which was announced in November 2004.

George Polk, CEO, The Cloud said, ?Our entry into the German market is driven by strong demand from major site owners for network coverage that allows their visitors to access multiple service providers in the same location. Site owners are now recognising the importance of differentiating their locations through an inclusive WiFi service that delivers real choice, reliability and security for their customers. With Germany one of the most sophisticated telecommunications and IT markets in the world, this demand is particularly acute.

?Our UK network is seeing strong growth week on week, and we are perfectly placed to capitalise on the increasing need for WiFi connectivity and greater availability of devices both in the UK and across Europe. While smaller operators are finding it difficult to meet the technical and operational challenges of running networks that support high quality of service and diverse applications, our economies of scale make it possible for us to build profitable businesses where others are struggling.?

The Cloud has built a strong team in Germany and has hired a number of senior staff with relevant experience to ensure a fast and efficient roll-out of the network. Volker Werbus, formerly of Airnyx is German Country Manager for The Cloud.

Hotspots, typically associated with business people working away from the office, are now seeing a sizeable upturn in usage from consumers. In the UK there are already in excess of 6.6 million WiFi enabled laptops and 400,000 PDAs. Meanwhile, more and more devices are being launched with an integrated WiFi capability. For example, 2005 will see the European launch of Sony?s PSP portable games console. Its built-in WiFi capability will see gamers playing wirelessly against other gamers located in hotspots all over the world.

Similarly 2005 will also see the launch of a growing number of WiFi applications such as voice calls over WiFi, which will allow users to make low-cost calls over the Internet from hotspots.

About The Cloud (http://www.thecloud.net/)

The Cloud offers sophisticated national wireless LAN coverage in over 5000 hotspot locations throughout the UK. The Cloud's infrastructure is a multi-service provider platform, which allows providers such as ISPs, mobile operators and cable companies to offer a fully branded wireless LAN experience to their customers. With The Cloud, site owners maximise their revenue potential by supporting all major service providers at their location and customers enjoy the best possible experience and maximum ease of use. The company is opening more than 100 new locations each week. Launched in mid 2003, The Cloud actively partners with O2, BT, Ericsson and Intel among others to facilitate the growth of wireless broadband services across Europe. The Cloud's investors include 3i and Accel Partners, Europe.