SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Technology Stocks : America On-Line: will it survive ...?

 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Follies who wrote (4774)9/11/1997 2:02:00 PM
From: jack rand   of 13594
 
You bring up a good point in that implicit in valuations of a lot
of Internet stocks is expectation that advertising will grow
exponentially and without interruption.

Just because eyeballs are there doesn't automatically mean that
advertising will follow commensurately. Advertisers have budgets,
not bottomless bags of money. What's spent on the web or AOL
can't be spent elsewhere. This means that online has to demonstrate
that its eyeballs translate to sales better than other media.

Also, all advertising spending in the US is now at its best level
of growth in a decade, following on best levels of consumer confidence in 5 years. Of course, that won't last. But implicit in expectations for Internet advertising is that it will never end.
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext