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Bye-bye to Circuit City; Zimbra claims mail momentum

Barbara Darrow, Senior News Director
IT channel news for March 9, 2009

It's lights out for Circuit City

Circuit City, once the country's second largest consumer electronics outlet, shuttered

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the last of its 500 U.S. stores for good on Sunday after 60 years in business. Visitors to the company's Web page are being referred to an investor site.

The Richmond, Va.-based chain filed for Chapter 11 bankruptcy in November 2008, but in January said it had been unable to find financing and started liquidating its inventory. Some 34,000 employees are now out of work.

Zimbra claims 40 million sold

Zimbra said it has sold in excess of 41 million email seats into such institutions as Stanford University, New York University, H&R Block, Century 21 Real Estate LLC, Digg and Mozilla. The news was disclosed in the Zimbra blog last week. The fact that the company is boasting about paid mailboxes is noteworthy, since it, along with Google, pioneered the free email market over the past few years. Zimbra, now part of Yahoo, also claims "millions" of open source (or free) email users. Many businesses of all sizes now balk at paying to run and manage email on premise. Email is increasingly seen as a stable, commodity application that can easily be outsourced inexpensively. Last week, Microsoft said its self-hosted Exchange Server email is now available.

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