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Technology Stocks : 3DFX -- Ignore unavailable to you. Want to Upgrade?


To: Michael G. Potter who wrote (13611)7/3/1999 2:33:00 PM
From: Joe C.  Read Replies (1) | Respond to of 16960
 
The key to the gaming site (as with any internet site) is number of users. If TDFX can somehow translate their loyal following into regular users and maintain their loyalty, I feel an on-line gaming environmnet could be profitable to them in the future. For example, I work with someone who is an Everquest fanatic - not a day goes by that he doesn't play on-line with one or two other friends. He pays $10 a month for this service. He also pays a large phone bill in that he uses a second line to talk to his friends as they're playing. My brother in-law likes to play spades on Yahoo - he needs to keep playing to keep up his ratings. I think both examples demonstrate the potential (if not currently profitable) of such a service. TDFX as a board maker doesn't have the content. However, they could provide the platform. Some of the benefits:

1. Strengthen Glide - You use Glide, we'll give you free advertising, an initial on-line gaming environment for new users, plus an existing community of gamers in return
2. Advertising revenue - software developers, sellers, pc hardware and companies looking at the 20-30 year old market (Spin magazine, clothing, whatever).
3. Subscription Revenue - could be a percentage of software developers charges, general users fees, whatever.
4. Branding and customer loyalty
5. TDFX free advertising

As you said, theirs lots' of sites out there already. However, TDFX could reach out to the new usesr looking for an AOL kind of service (easy to use and fun). It should be interesting to see what they do. Joe C.