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Technology Stocks : America On-Line (AOL) -- Ignore unavailable to you. Want to Upgrade?

To: Aljorma who wrote (23800)	6/23/1999 7:38:00 PM
From: RocketMan	Read Replies (2) \| Respond to of 41369

IMHO, the Hughes deal is not about broadband access for the masses, but an entry into alternatives to cable. At 400bps you really do not have the bandwith to provide whatever AOL-TV is, not in a true interactive sense. Furthermore, DBS has problems with coverage and line of sight. That having been said, I believe there is much more to this than meets the eye. There are plans by other companies to orbit a large bandwidth geosynchronous constellation, and DBS provides AOL with the learning experience they need to grow AOL-TV into a service that can be be ported to other systems such as T-1+ capacity satellite, LMDS wireless, and others. Combined with DSL, AOL can give cable tremendous competition, especially with their current subscriber base and not having to worry about building the expensive and difficult HFC infrastructure that cable needs to provide broadband. This is not something that will happen tomorrow. We are looking at 5-10 years downstream. But by buying in now, AOL can evolve the technology and be first with the most. That is why I am a long term investor and could care less if AG raises or lowers interest rates next week. I hope he does, so I can accumulate shares at a cheaper price from those investors/institutions who can't see beyond their nose.