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


To: Nick who wrote (37321)1/11/2000 7:15:00 PM
From: Bald Man from Mars  Read Replies (1) | Respond to of 41369
 
it looks like a correction is imminent !!!



To: Nick who wrote (37321)1/11/2000 7:48:00 PM
From: Badger  Read Replies (2) | Respond to of 41369
 
Nick and tuna--

Agree with you both. Lots of chicken littles out there because they either don't understand or are not willing to take the time to understand the implications of this deal. All the analysts have said AOL lacked a broadband strategy...now they have a sweeping one in place. The same analysts said that AOL will have difficulty making inroads in the television arena . . so they get TNT, CNN etc. as a part of the deal. They also said that AOL needs vastly more content to compete with others. . . they get this through TWX. Chicken littles can't or won't see these net positives. This deal has, in effect, created the company the analysts have been clamoring for. They are the most obvious examples of the chicken littles. Where are you Mary Meeker?

I see most people reacting to this merger in the wrong way. The worry right now is that AOL will be dragged down because they have a traditional media company as a partner. They look at the growth of TWX and see that AOL will only be hamstrung by such a partner. I view it as just the opposite. The reason why TWX has a slower growth rate is because they are a traditional media company with conventional means of presentation. All of that has changed. Instead of seeing the merger as AOL hamstrung by the old media, AOL is pulling TWX into the 21st century. Now we get entertainment, news, sports,video, television programming, communications, all the extras that make life more enjoyable instantaneously, wherever we want it, whenever we want it. I believe this point of view actually takes some patience and foresight. I believe it to be the first of many, perhaps not this large, steps into the future of AOL and the internet. I also believe it is a brilliant, bold move. And oh how the money will roll in. Analysts and other chicken littles be damned.

Badger