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Technology Stocks : America On-Line (AOL)

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To: chalu2 who wrote (5020)2/13/1999 8:43:00 PM
From: ChinuSFO  Read Replies (3) of 41369
 
Lately, Prodigy has started to come out with their ads containing mention af AOL. In my opinion, doing so is a tacit acknowledgement by Prodigy that AOL is the leader.

Prodigy ads also display very prominently that their monthly rates are very low, some 9 and odd dollars. I do not think that in this business, low rates mean anything. The other day, some TV analyst was mentioning that AOL owns some million telephone lines. If Prodigy owns a comparable amount of phone lines to assure a connection to its users at all times, then surely they cannot charge the ridiculously low monthly fees.

I would not worry much about Prodigy. Instead, I would be curious to know what is AOL management's view of where Cyber community is headed towards and what they are doing to meet that. Wireless cable access, DSL, e-commerce, e-ballot (since they have 16 million users and counting) etc. etc.

Chinmoy
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