High-flying Internet deal gets done

PanAmSat, Excite@Home [1] form satellite-based Internet service.

PanAmSat is buying Internet connections from @Home Corp. to gain access to 2 million customers through @Home's Excite unit.

The agreement gives the company that does business as Excite@Home [1] faster connections through PamAmSat's 21 satellites, which bypass Web congestion. Terms of the deal weren't disclosed.

Excite@Home [1] said it expects to add 2 million customers for a total of 3 million by the end of the year. PamAmSat started its Internet service, called Net/36, last month.

The agreement will allow PanAmSat to sell the Net/36 service to customers who want Excite content. PanAmSat also has agreements with RealNetworks Inc. to deliver online music and video services over Net/36.