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Technology Stocks : America On-Line: will it survive ...?
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To: eddie r gammon who wrote (2253)3/7/1997 10:56:00 AM
From: Sam Citron   of 13594
 
eddie,

Yes, the inertia of AOL's subscribers has always puzzled me. In spite of a horrendous churn rate, what is surprising is that perhaps 20% seem to stick around. I attribute mainly it to new media's youth and the inexperience of the market. But also, many are reluctant to change e-mail addresses or are unaware of free e-mail services like Juno.

In any case, I think ISPs are starting to do a better job in helping customers get online. This simple hurdle has always been AOL's one and only strategic advantage IMO. I think it is an unsustainable advantage, however, as the competition learns its lessons and users inevitably become more sophisticated.

SC
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