Netscape -- Giant Killer or Flash in the Pan? Message Board

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Technology Stocks : Netscape -- Giant Killer or Flash in the Pan?

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To: Keith Hankin who wrote (2847)	4/21/1998 8:40:00 AM
From: Winter	Read Replies (3) of 4903

Going public raised enough money to pay salaries. Biotech's burn cash for years without one cent of revenue. Netscape has adopted the model that you give away the browser and you make the money on the server & groupware s/w and advertising. To that end, browser market share is crucial. Therefore they should have been giving their browser away all along to prevent (or reduce) exactly what has happened (MS stealing mkt share away). At this point in Netscape's life, being dominant is much more important than making money. Selling browser s/w was never going to generate the revenues they needed to sustain their size (or market capitalization). Its easier to sell a Netscape server solution when the company is using Netscape's browser. Ditto for the groupware. IMO, As soon as MS announced they were serious about getting into the browser game, Netscape should have started giving away the browser.

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