Kingston Internet services is being sold off as part of the bid to save the company.
It is the latest in a string of online service closures in recent years and is set to be the biggest in the world as part, according to analysts, of a bid to protect the company’s future.
The online retail giant has been unable to attract customers as the number of online orders has grown in recent months, and the company has been forced to scale back services and cut staff.
Kingston Internet is a subsidiary of Airlogic, a company that operates internet-based telephone and mobile phone services, including Skype, Facebook Messenger, Instagram and Netflix.
“It’s the end of the line for us,” CEO Rob Lloyd said.
“We have a number of people who are working hard, and there’s nothing left in the tank, so it’s a sad day.”
The internet is vital to the health of businesses and the digital economy, and is seen as vital to a thriving digital economy.
As the price of internet has risen, so has competition.
Airlines, retailers and internet providers have increasingly been charging customers more and more for their services.
Internet service is also often a source of annoyance for consumers and businesses.
The bid to sell Kingston Internet was submitted by Crown Property Group, a firm that runs the Kingstons online business and was previously run by Lloyd.
“We believe the future of our company rests on the success of our existing business and the ability to continue to operate it in the future,” Lloyd said in a statement.
“The acquisition of Kingston Internet and the acquisition of AirLogic will strengthen our ability to expand into new markets and create jobs in the long-term.”
Kingston internet is a joint venture between Airlogs online retail business and Crown PropertyGroup, the firm that owns the Kingston Internet property.
Crown Properties Group has been in negotiations with the company for more than a year to buy the Kingston internet property.
Crown has said it is looking to invest $3.5 billion in the internet, and hopes to be able to raise that amount through an initial public offering by the end to 2019.