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: rodney beasley who wrote (34132)	11/15/1999 7:54:00 PM
From: Boplicity	Respond to of 41369

Wal-Mart, AOL May Form Internet-Related Alliance, Analyst Says Bentonville, Arkansas, Nov. 15 (Bloomberg) -- Wal-Mart Stores Inc. and America Online Inc. may form an alliance similar to Microsoft Corp.'s recent $100 million investment in Tandy Corp.'s Internet business in exchange for space in Tandy's RadioShack shops, an analyst said. Wal-Mart may install kiosks in its stores that would link to the Internet through AOL, the No. 1 Internet service provider, Donaldson Lufkin & Jenrette analyst Gary Balter said in a report. Wal-Mart and America Online declined to comment. Wal-Mart's Web site, a latecomer to the Internet, could benefit by tapping AOL's customer base, he wrote. Balter said he had no details on how the potential alliance would be structured. Neither company needs a cash investment from the other, said Balter, who rates Wal-Mart a ''buy.'' Shares of Wal-Mart rose 1/4 to 59 1/8. Dulles, Virginia- based AOL rose 1 1/2 to 150. Wal-Mart, the world's largest retailer, early last month said it would install kiosks in its stores so customers who don't have Internet access still can purchase goods and services Wal- Mart offers online. The retailer plans to unveil a new Web site early next year. It will include a pharmacy, photo center and travel services. Wal-Mart had 2,485 U.S. Wal-Mart stores and supercenters, which include full grocery departments, and more than 980 stores outside the U.S., as of Oct. 31. The Bentonville, Arkansas-based company also operates 456 Sam's Club wholesale warehouses. Microsoft last week said it will set up boutiques in Tandy's 7,000 RadioShack shops to push its MSN Internet-access services and devices such as digital phones, hand-held computers and WebTV. Under the five-year agreement, Tandy will use the investment from Microsoft to build up its radioshack.com Web site. Nov/15/1999 16:40

To: rodney beasley who wrote (34132)	11/15/1999 8:02:00 PM
From: jmac	Respond to of 41369

Hey, don't get carried away yet. It's a rumor. It makes sense but there are no details and no comments. Again, it makes sense but it's not a done deal yet.

To: rodney beasley who wrote (34132)	11/15/1999 8:20:00 PM
From: Martin Milani	Respond to of 41369

hope that they announce something soon...

To: rodney beasley who wrote (34132)	11/15/1999 9:32:00 PM
From: thecow	Read Replies (1) \| Respond to of 41369

congrats to all AOL longs!! I don't want to put a damper on the party but this news about AOL/Walmart rumor was out early this afternoon and AOL started losing its earlier gains shortly afterward. I too was expecting a move to 160ish and was really disappointed in the markets reaction. Maybe confirmation of a deal will get us rolling toward a new high. This should definitely help AOL in European growth. TheCow

To: rodney beasley who wrote (34132)	11/15/1999 11:04:00 PM
From: Brian Malloy	Respond to of 41369

A deal if announced with WMT would clearly be good for AOL and WMT. However, I would not crow so fast about MSFT. AOL was trying to team up with Tandy as was MSFT. MSFT won the bidding. So to disparage MSFT and Tandy may be displaced. We may never know but as I look at the strategic game I can only think that AOL wanted deals with Tandy and WMT. 1. Tandy + AOL to get access to the home, offer DSL, sell web centric devices, continue ISP consolidation and so forth. With 7,000 stores, Tandy is everywhere. 2. WMT + AOL to take on AMZN, building the ultimate in clicks and bricks franchises to be number one in B2C. As an aside, there may be some spillover ref WMT/AOL vs Tandy/MSFT. Since AOL didn't get the deal with Tandy - WMT/AOL may play up this angle as well. AOL may still hook up with a Circuit City or some other consumer electronics chain(s) depending on what kind of deal is orchestrated with WMT. IMHO