News from Gnet 17th Shareholders meeting:
My brother was at the last meeting and just sent me this list of his take on some of what was discussed, I thought it may have a few points not covered by the press.
HE WROTE:
SOME OTHER STUFF FROM THE MEETING
(that I don't believe I've seen covered by other reports):
1. They hope to reduce the revenue (profits) derived from "advertising"
currently about 70% or so, to around 50%, and increase income from other more
stable and reliable long-term sources (memberships, and selling monthly fee
type services etc...).
2. The two ways to "grow" a portal are "Organic Growth" (attracting new
users) and "Internal Growth" (keeping existing "long-term users that stay and
continue to use the services).
3. GNET is NOT limited by the deal with Paul Allen (Vulcan/Charter) from also
seeking agreements with other "broadband" providers (cable, high-speed
access, wireless etc...). Very interesting. By the way, did you see the
article last Friday where AT&T just approached Charter Communications
(Allen's) as well as other cable providers to begin to work out some
agreements for the "wired world" between the BIG SEVEN (see S.I. GNET thread
reply#7541). Wow. AT&T is a little worried about getting too much all by
itself, and coming under federal regulations. This could be HUGE for GNET in
the future.
4. Russell did also say that they hope to have the first broadband/cable TV
product should be available in the FIRST QUATER of next year (2000). I'm
surprised no one else who reported on the meeting mentioned this. That is
REALLY BIG news in my opinion. GNET could be one of the very first
out-of-the-box to get the TV/computer connection really up and running in a
major way with the partnership with Allen (Vulcan/Charter Comm.).
4. Russell also mentioned that the company would "consider" limited
purchasing of some new (non-public) small "start-up" companies if they had
excellent technology, creative concepts, showed real potential for growth,
and would be a good (and economical) fit with GNET's business plan for the
future.
5. He also stated that recent the pullback in internet stocks was not
necessarily a bad thing, as many had become way over-valued, and VERY MANY of
the new IPO internet stocks just plain had very poor business models, poor
management, and NEVER should have gone public in the first place. He said it
was VERY DANGEROUS for people to have invested in many of them. He also said
that —although many of them had good products—they were really "not ready for
prime-time," and should have been bought out by "big" companies—with an
excellent business plans, already making "profits," having large cash
reserves, and with outstanding management teams—like Go2NET.
6. Major investors (big brokerage accounts, money managers, mutual fund
accounts etc...) now represent about 11% of GNET's stockholders. They were
only about 6% last month or so ago. This is really good news. Although I hope
they don't become too large of a percentage, as they can create huge swings
in the stock price with major moves in and out. Although they often do help
drive the price up, help stabilize the big swings, and generally leave their
funds invested in a particular stock for longer periods of time (not like the
"day-traders").
Going surfing (not the Web, the Wet) Two rushes in one day are better than one!
Puna |
