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At first glance, the Internet phenomenon should be an unqualified boon for resellers in the communications hardware business. After all, the growing Web-enabled electronic marketplace is forcing companies of every size and industry to invest in connectivity and services. And, with the bandwidth requirements of e-business continually escalating, VARs should be able to look forward to a steady stream of upgrades and enhancements.
But the situation may not be as rosy as it appears. The bandwidth feeding frenzy has spawned a wide range of technology alternatives- including ISDN, xDSL and cable modems-that are bringing uncertainty to the channel's strategy.
The adventof cable modems provides a prime example of how network service providers can cut resellers out of the hardware...