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Technology Stocks : Gemstar Intl (GMST)
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To: Paul Merriwether who wrote (1974)2/13/2000 9:49:00 PM
From: NY Stew  Read Replies (1) of 6516
 
Paul,

Careful afore you dis that WebTV! It too is a GMST licensee(although AFAIK they pay a little less than AOL, Stew?).

I have heard that the AOL TV agreement was negotiated with terms that Henry prefers going forward with a monthly subscription fee as opposed the one time unit fees with Microsoft. A healthy take of the IPG advertising and commerce revs is still maintained. Although the exact monthly fee has not been disclosed Henry said it was greater that $5 and less than $10 on an annual basis. I am not certain as to the average life of the STB but I would guess it to be at least 3 years.

Regards
Stew

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