America On-Line: will it survive ...? Message Board

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

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To: Brian K Crawford who wrote (809)	12/14/1996 4:48:00 PM
From: Zoltan!	of 13594

Actually, we should all keep an open mind, especially those who have $ at stake. I nearly fell off my chair when I read AOL was going to "weed" out content providers. In actuality it will be the best content providers who will, as they have been, continue to "weed" AOL out. It was gonna happen anyway, but the move away from sharing hourly charges accelerated the process. AOL management loves to give the impression they are ahead of the curve yet reality shows they are well behind it. Every bad turn opens the PR floodgates. BTW, did you catch the Adam Smith interview with Meckler of MecklerMedia? Well, he predicted that horizontally integrated sites (AOL) would lose out to more vertically integrated sites for advertising $. Why? Best way to target a market and demographics to get bang for the advertising buck. And the VHS/beta Mac/PC analogy is inapt. In those cases consumers were committing relatively large capital outlays for durable goods locking themselves into a format for a long period. On the Net market share is transitory and the learning curve is no friend of AOL. Regards

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