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Technology Stocks : America On-Line (AOL)

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To: donkeyman who wrote (17325)5/17/1999 9:48:00 AM
From: tang  Read Replies (1) of 41369
 
Donkeyman: here are the reasons why you should not worry
about UK's free ISP in USA or other parts of the world unless:

(1)MSFT is in but it won't for the DOJ concern
(2)IBM is in but it won't because DOJ concern plus too much
fuss
(3)T is in but it won't for DOJ concern and it is too busy
to lay pipes
(4)GM, GE are in but they won't because not their business
(5)Bells, GTE, SPRINT, MCIWorlcom are in but they won't
because they are already giving away the local connections
for free, and they are making good money by offering
themselves as ISPs, why should they give up their shares?
(6)DSL, CABLE, Wireless's prices are down to $20/month and
all houses in USA have them so they can give away
regular ISP connection fee to lure customer for
$20/month high speed connection, this won't happen
until year 2010 or later.
(7) Any big business can go for this free ISP like UK's but why
they don't here? Because they have no idea whether it will make
money or not, better rely on established leader like AOL to
help them into the internet.
(8) Can you imagine all stores try their own free ISP to get
customers? there is no BELLs to share the income of connectivities
with them, they have to put up a lots of money ahead to establish
customer base to lure advertisement!

Now, who are the best free ISP candidates? The Bells!
They have all pipes into everyone's house, and they know how.
If they go for the free ISP model then AOL will be a dead issue,
but will Bells go for that model? You tell me.

As for anyone else in USA to try the free ISP they have
to have a lots of money to lay the phone hubs so people
who want to get on can get on, but do you know what?
the largest free ISP, the Netzero.com only has a handful
local numbers available, only handful, mine and a lot
people who live in the township of 200,000 population
neighborhoods don't have a free local number, yes, you
can use other township numbers, but that is a long-distance
connection!

Besides, I have friends try the free connections, guess
what? they are all now back to paying ISP, why? the
ISP's servers broke down so often, constant maintanience,
they can't take it anymore!

Free ISP needs a lots of phone hubs, needs more servers and
needs more sharp tech. to maintain their lines, can they
afford that? Unless Warren Buffet/Bill G./... are willing
to put in their money.

There are at least a dozen free ISP around, why none of
them is taking off? You tell me!


I rest my case!
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