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Technology Stocks : America On-Line: will it survive ...?

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To: mike smith who wrote (6101)11/27/1997 10:55:00 AM
From: Steve Robinett  Read Replies (2) of 13594
 
Mike
>>I think the big question is: Can they make some $$$ through
on-line advertising? <<
Can they make big money with on-line anything? Advertising only offers so many prime sites and the demographics, the main thing advertisers want before they pop big bucks, are evidently hard to come by. Shopping is also a problem. Cybermalls are among the fastest failing online businesses, an idea that sounded good but hasn't worked as well as people hoped. People seem to like going to real malls and actually handling the merchandise, though they will use online info like a giant catalog to see what's available. As for providing content, AOL has a minor hit with Alfie The Elf, but creative content like that puts them in competition with say, movie companies, the most capricious business there is. A couple of years ago, Sony studios hit rock bottom, now they are riding high. Only Disney has shown the ability to be consistent, and even they have flops.
In short, where is the killer app that makes AOL anything more than an ISP with a few extra bells and whistles? Heck if I know.
Best,
Steve
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