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Technology Stocks : AUTOHOME, Inc

ATHM 24.34

-3.4%

Nov 7 9:30 AM EST

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To: Jack Hartmann who wrote (18983)	1/18/2000 11:38:00 AM
From: ahhaha	Read Replies (2) of 29970

MSO aspect of the network ends at the headend. ATHM starts beyond there and is essentially an MSO interconnect network with the ability to go out to the non-partner cloud. MSOs are precluded from establishing their own operations outside of their designated territories, so they had to get together and create a new entity which is an implementation of "having it all". We call this bastard, ATHM. The creation of another entity also limits risk to any partner MSO. To a certain extent ATHM is a virtual company although they do own physical network elements including equipment in rented buildings which house data centers. The company leases transmission lines and both buys and leases Sun servers. This implementation is beyond the experience and expertise of MSOs. They off loaded risk and cost of expertise to another in order to get at least "having most of it".

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