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Technology Stocks : America On-Line: will it survive ...?

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To: Yikes who wrote (10283)6/17/1998 2:08:00 PM
From: J.S.  Read Replies (1) of 13594
 
Hey don't short shrift AOL!

Remember the Compuserve members. When CSRV was up for sale the
market was valuing them at a couple $100 apiece and that is
arguably what AOL paid for them. So be generous and value each at
$500. That makes 24B for 12M members. That's $2000 per AOL member.
(Yikes that's what you said in the first place.)

That notwithstanding, a cable modem and five years of free service for each subscriber would cost what $1500?

Oh wait. There is also close to another 1B in cash and Mirabilis value. That makes 23B for 12M members. That's $1,925 per member!

Wait! Does ATT have the expertise to run an internet service?
ATT Worldnet generates many more busy signals and complaints than
AOL. Right?..Well maybe not.

OK I think I got you. Amazon.com is now approaching (fully diluted)
5B in market cap. Reductio ad absurdum. I can now justify any
market cap for any company I want.

Yikes, please be more careful next time!

Joe ;^)
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