Broadband-service provider Williams Communications has agreed to purchase the
assets of Webcasting and streaming-media player iBEAM Broadcasting Corp. for $25
million in cash.
The move follows iBEAM's filing for Chapter 11 protection with the U.S.
Bankruptcy Court in Delaware.
Williams has agreed to provide a loan to keep iBEAM going until completion of
the sale, at which time the loan will be repaid from the proceeds, a company
Williams and iBEAM had previously announced a strategic partnership June 25,
when Williams invested $20 million in cash and $10 million in services in iBEAM
in exchange for 49 percent ownership of the company.
If the court approves Williams' bid, the company said it will integrate
iBEAM's streaming and Webcasting business into its Vyvx Broadband Media unit
starting early next year.