Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

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

To: im a survivor who wrote (31254)	9/21/1999 1:46:00 PM
From: im a survivor	Respond to of 41369

It says AOL is extremely pleased at their entry in to the smaller value market. Is this not the same market that everybody says is killing AOL ? Lets be realistic here...the main problems right now are broadband and cheap or free isp's. As I've said before, anything the competition can do, aol can do also. I have heard great things about compuserve. For a cheap ISP, it is supposed to be pretty damn good. Free ISP's - well, we've already heard the reports on how awful these thibgs are...how nothing is "really free" and etc, etc.....I will gladlypay AOL $21 a month for their premium service..I have no desire to mess around with, and get aggravated by, a free isp. Now, lets assume that the free isp's improve...again, I emphasize that if it works, if it is viable, AOL will do it. Lets assume that free isps are the future ( which I seriously doubt ). These folks are going to have to derive revenue from somewhere. Who is best positioned to capitalize on this ? AOL. In fact, if things did move in that direction, I think it would push out all the wannabee's and leave the big boys in charge. Howlong can a small isp lose money ? AOL derives income from so many different sources, they certainly are best positioned to take advantage if this does indeed go that direction. High speed access...DSL is way ahead of the game. AOL nailed broadband in Canada, and have agreements for a good portion of the U.S. - Additionally, they will work a deal with T, or get access thru the Gov't. AOL will not be shut out of broadband..how ridiculous. I find it ironic people even say aol will be shut out...with DSL they are ahead of the game. With their deals with the baby bells and etc, etc...they reach alot of the U.S. for broadband. Even without a current deal with T, they still reach alot of the U.S., so how are they being shut out ??? In any event, folks that want quality will go the high speed route, which certainly will not be free. AOL will be there to provide service. Others that choose to go the low cost route will have many choices. I still feel quality will win out, and AOL is quality. I do expect the current low speed isp's to drop prices when high speed really cranks up....yes, including AOL. Yes, it will mean they lose a few $$'s in subscriber revenue, but they will make that up by signing up more subscribers, taking in more ad dollars and setting up more alliances with other businesses. While everybody worries about subscriber revenue, they fail to realize the number of ways aol generates revenue. In any industry, history has proven, price wars will be apparent. It's happened since the dawn of business as we know it. Just because a business has to drop it's price, in know way means it will go under. In fact, the opposite would happen. Everybody worries about the competition droping prices. What if AOl dropped their price. The competition wouldn't stnad a chance. People have proven they will choose AOL at a higher price over it's competitors... A HIGHER PRICE . Surely they will stay with AOL at a lower price. In closing.....fear is in the air and the bears are out of hibernation, but rest assured, AOL is the same company it always has been and getting stringer everyday.