WIRED Front Cover Feature:Forget the Dow! Here Comes THE NEW ECONOMY!
NEW ECONOMY>
Poor Man's Bloomberg Out For Respect
"When the Data Broadcasting Corporation emerged from the ashes of the bankrupt Financial News Network in 1992,nobody paid much attention. But through a series of focused acquisitions and investments, DBC has become the leading provider of real-time financial information to individual investors and has begun targeting investors outside the niche it dominates. For roughly US$500 per month, DBC's president Mark Imperiale boasts, 'we can give you 80 percent of what Bloomberg offers at one-sixth the price.'
The solution to its growing pains? First, CBS MarketWatch, a joint venture with CBS News that reaches 250,000 users (compared with DBC's 37,000 subscribers). Second, take CBS MarketWatch public,as soon as this fall. That way, Imperiale says, as the online investment market consolidates, he can use the IPO funds to create a financial 'supersite' that will expand DBC's market share. 'In the short run, spending money on Internet delivery reduces our earnings, and we've been penalized for that, while pure Internet companies are rewarded,' explains Imperiale. 'We get no credit for what we're building in the hopper.'-Spencer E. Ante © [June] 1998 Wired Magazine Group Inc. [follow-up to peter michaelson's 23 May post]
In a related 28 May breaking story Reuters indicated Wired Magazine is offering an alternative to the Dow 30 based on said "New Economy", of which, DBCC was covered within said "New Economy" feature story ref/ internetnews.com |
