Micron Buys Kirkland Internet Firm

In an attempt to boost its e-commerce presence, computer manufacturer Micron Electronics announced its plans to acquire Lightrealm, a Kirkland-based Web-site host and Internet access provider.

Nampa, Idaho-based Micron, through a wholly owned subsidiary, will acquire all of Lightrealm's outstanding stock in exchange for an undisclosed amount of cash. The move, expected to be completed in early December, will make Micron one of the top five Web-hosting providers in the U.S., based on the number of paid accounts.

Micron last week launched "subscription computing," in which businesses can lease customized computers and receive Internet access and Web-site support for one monthly fee.

Lightrealm offers small and medium-sized businesses Internet connection and Web-hosting services, under the name VServers. The company has roughly 10,000 Web-hosting subscribers and is growing at a rate averaging 10 percent each month, spokesman Matt Molen said.

Lightrealm has 100 employees, annual revenue of about $9 million and about 42,500 paid accounts. Molen said its headquarters will remain in Kirkland.

Micron last quarter also acquired HostPro, a Web- and applications-hosting provider that is also growing about 10 percent a month. The company provides both front- and back-office services, including e-commerce templates, shopping carts, credit-card authorization and customer tracking and inventory control.

Micron manufactures personal computers, plus offers Internet access and e-commerce services to businesses. The company has more than 2,600 employees and roughly $1.7 billion in annual revenue.

Monica Soto: 206-515-5632. E-mail: msoto@seattletimes.com