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Technology Stocks : America On-Line (AOL)

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To: Keith Howells who wrote (3219)1/24/1999 1:51:00 PM
From: musea   of 41369
 
Keith,

This is exactly what I've been talking about, and why I invested in AOL. The "captive" subscriber base provides any e-tailer who allies with AOL a large built-in market. This not only gives AOL a strong revenue stream but also makes it a more attractive partner. In turn, the top content providers and e-tailers make AOL a more attractive proposition for subscribers. In this symbiotic relationship, both sides benefit and in theory propel AOL to ever-higher valuations (OK, we can dream, right?).

What AOL has right now is a big lead, which in turn gives them more clout to develop a bigger lead. I don't claim to be able to predict what will happen as we roll into the future but for now, AOL looks really well-positioned to survive what is surely (as the article points out) going to be a massive consolidation/shakeout of the portals and ISPs.

This is a good article.

-musea
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