IP: 2 from Edupage -- NSF CUTS FUNDING FOR PRIVATE SECTOR

[Dave Farber <farber () central cis upenn edu>]

NSF CUTS FUNDING FOR PRIVATE SECTOR INTERNETWORKING
The National Science Foundation, which has been managing the NSFNET Internet
backbone since 1985, says it will no longer support the Internet networking
and routing services that the private sector provides for the nation's
research and education community.  The move will allow NSF to concentrate on
building the next generation of the Internet:  "The NSF-funded operations of
NAPs (network access points) and RAs (routing arbiters) can now shift to the
commercial marketplace as their researchers focus on connections and routing
for advanced networking," says Mark Luker, NSFNET program director.  "Both
actions help NSF to move to the next stage, a stronger focus on the
high-performance Internet of the future needed to support today's advanced
research."  (BNA Daily Report for Executives 20 Aug 96 A7)


SILICON ALLEY GETS ATTENTION FROM INVESTORS
"Silicon Alley" -- the New York-area companies focused on the Internet and
new media -- has the attention of a new investment fund called Flatiron
Partners, in which the Softbank Corporation of Japan and the venture capital
arm of Chase Manhattan Bank each will invest $25 million.  Silicon Alley is
centered around the Manhattan's Soho and Flatiron districts.  (New York
Times 23 Aug 96 C1)