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Inner Cities Mining Old Resource: Easy Access To Phone, Cable Lines; Location Has Rare Plus; Availability of broadband is helping spark startups in some depressed areas.(INTERNET & TECHNOLOGY)

Investor's Business Daily

| June 02, 2004 | COPYRIGHT 2004 Investor's Business Daily, Inc. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan.  All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)Copyright

Byline: DOUG TSURUOKA

Most inner cities -- depressed, central areas in big cities -- don't have a lot going for them.

But there's one thing many of them do have, and it's a big item in this information age: plenty of phone and cable lines.

Some entrepreneurs are hip to this happy coincidence, using this easy access to found scores of companies in inner-city neighborhoods.

"In the inner city, companies don't need to build out cybercapacity -- it's already there. They tend to be sitting right on the major cyberhubs," said Michael Porter, a Harvard Business School professor.

Telemarketers, delivery operators and Internet service providers, among others, have found inner cities good places to set up shop, because there's lots of bandwidth to run banks of PCs, servers and wireless devices.

Fast-Growing Companies

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