Online Services Providers Merge

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Internet relationship provider WiredEmpire, Burlington, MA, merged on Jan. 1 with Pegasus Internet Inc., New York, an Internet marketing consultancy and technology development company.


Both companies are subsidiaries of Marketing Services Group, Inc. The merger will allow WiredEmpire to enhance its ContentAgent software by using Pegusus' content delivery technology. ContentAgent enables Web sites to serve custom content -- such as banner ads, Web links or Web pages -- to its Web site visitors based on their interests and preferences.


The new ContentAgnet will also be added to WiredEmpire's suite of Internet-based customer care and marketing solutions.


Both companies added that the merger will broaden WiredEmpire's Internet marketing consulting services to include online marketing strategies, e-mail marketing techniques and Web content delivery and management.


"This merger shows the growing potential for true Internet marketing when


customer information and targeted messaging are coordinated intelligently,"


said Dana Gardner, research director for messaging and directory services, Aberdeen Group, Boston. "The ability to offer targeted content to Web site visitors in real time is a powerful marketing tool and savvy Internet marketing organizations will leverage this unique messaging technology to improve the communication and overall relationship with their e-customers."


This is the second significant transaction announced in the last three months by WiredEmpire, which is planning to sell shares to the public this spring, and MSGI. In October, WiredEmpire acquired Cambridge Intelligence Agency, Inc., a leading provider of Web-based e-mail response management and self-service automated response FAQ solutions.


Pegasus Internet's clientele includes National Securities Corp., Sony Music, Lincoln Center for the Performing Arts, and Cameron Mackintosh Inc.
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