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

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To: tom pavlish who wrote (437)10/30/1996 9:02:00 AM
From: Meghan Richards   of 13594
 
I think the 2-yr (& 1yr) plan was strategic on AOL's part.

They aren't stupid. They know the ISPs will now have to
cut their rates. Rather than play that game, AOL implemented
a plan to rope in their customers for the longer term ... and
thus limit their need to cut rates again in the near term.

Pretty smart actually.
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