PSINet

PSINet, based in Northern Virginia, was one of the first commercial Internet service providers (ISPs) and was involved in the commercialization of the Internet until the company's bankruptcy in 2001 during the dot-com bubble and acquisition by Cogent Communications in 2002.

It was founded on December 5, 1989 and officially began offering services, including limited for-profit access to the Internet, on January 1, 1990, becoming one of the first companies to sell Internet connectivity.

History

Founding

PSINet was founded in 1989 by Martin L. Schoffstall and by William L. Schrader, who initially funded the company through personal loans, including using credit cards and by selling the family car. It was initially known as Performance Systems International. In very late 1989, the company acquired NYSERNet assets and established an ongoing outsourcing contract with NYSERNet. NYSERNet, a non-profit research and education network serving New York State, had created one of the first regional Internet networks under Schrader's and Richard Mandelbaum's leadership and technical leadership from Schoffstall, Mark Fedor, and others. This acquisition gave PSINet commercial access to what would come to be known as the Internet.