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Technology Stocks : Excite [XCIT], an exciting stock to own in 1999!

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To: chirodoc who wrote (550)11/10/1997 1:30:00 PM
From: Ron Gross  Read Replies (2) of 3183
 
<<<<<<<it was stated by a respected mutual fund manager that it would be easy for a msft or AOL etc. to have their own search engine.

....what would happen to all of them if msft entered the search engine business big time?>>>>>>>>

But noone is really interested in being a search engine anymore. Everyone is looking to be a 'content aggrigator' or 'your dashboard to the web'. Which is just a pretty way of saying they want to be able to collect as many eyeballs in one place in order to sell them to advertisers, much like a television network. Yahoo and Excite have done an excellent job of making this transition and continue to evolve. In fact, only about half of Excite's current traffic is related to 'search', the rest is in all their other offerings.

As for the 'big boys':
AOL knows all about this, they are simply having trouble translating this to the internet (changing their entire business model from subscriber based income to free access with advertiser based income).

Microsoft already has a 800 pound gorrilla in this arena. It is called MSN, and its current traffic is pathetic. Being Microsoft is NO guarantee of dominance in this race. They simply have far more time and money to burn trying. Excite, Yahoo, and even AOL have fared quite well in spite of the presence of Microsoft for quite some time with MSN.
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