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Technology Stocks : America On-Line (AOL)

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To: KailuaBoy who wrote (22460)	6/15/1999 11:43:00 PM
From: Islander99	Read Replies (1) of 41369

3. All the while cable broadband churn rates are next to ZERO. People love it and they leave for only one of two reasons, they either die or they move to an area not yet upgraded. How's AOL churn lately? I am a subscriber to both ATHM and AOL. I buy ATHM for its wonderful download speeds and AOL for its wonderful community. The reasons churn rates are next to zero for ATHM are two-fold: 1) The speed is so much better than the alternative. 2) It's still in high-cost introductory mode and the people who want speed the most and are willing to pay any price for speed are subscribing. Not sure what the latest subscriber numbers are, but I suspect we'll still talking a 20-1 or 30-1 dominance by AOL over ATHM. ATHM is attracting early-adopters and power users who must have speed. AOL is attracting an audience 20 times or more the size of ATHM of people who want to talk with their communities. As ATHM deploys further, it will be interesting to see how deeply it can penetrate markets other than early-adopters willing to pay for the speed. Does anyone have any figures on what ATHM's projections are for customers? --Islander99

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