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Technology Stocks : AUTOHOME, Inc -- Ignore unavailable to you. Want to Upgrade?

To: FR1 who wrote (20455)	3/30/2000 10:45:00 PM
From: Richard Habib	Read Replies (1) \| Respond to of 29970

I agree with you that the reports on the deal have been quite negative. I expect we'll have to wait a few days for those who benefit from a higher ATHM price to talk the deal up. I'm confused though when you say that the Cox/Comcast exit strategy if they choose to take it - isn't a buyout. It seems clear to me that T has offered Cox & Comcast the right to sell all 30M Class A shares for between 48-100. If for whatever reason, Cox/Comcast no longer wish to be associated with ATHM, it seems clear that they have been given that option. Since T has gained complete control of ATHM and given T and Cox/Comcast are after all competitors of T's cable properties, it may happen that Cox/Comcast decide to end their association with ATHM. Rich

To: FR1 who wrote (20455)	3/30/2000 10:49:00 PM
From: Ron Dior	Read Replies (1) \| Respond to of 29970

As far as I can tell, Forbes is implying that the AOL/TWX deal will make it so they (with roadrunner) can offer more to Cox/Comcast than ATHM can (I assume implying Cox and Comcast will switch to roadrunner). T, with a big investment in ATHM, had to scramble to save its investment and hence this deal. The article colors T as shaking in fear of AOL/TWX. The article almost leaves you with the feeling that Cox and Comcast will cash in their ATHM shares for a big profit in January and move to AOL/TWX. 1. What could AOL/TWX possibly offer Cox/Comcast that T/ATHM couldn't? 2. How difficult or easy would it be for them to make all of the necessary changes in order to dump ATHM and bring on board AOL/TWX. 3. Would Cox/Comcast/ATHM customers want to be bothered with a change of service? 4. Financially would Cox/Comcast be better off dumping ATHM and bringing AOL/TWX/RR on board (more per subscriber)? 5. Will AOL/TWX grow at the same rate as T/ATHM over the next 6 years thus proving to be a better investment for Cox/Comcast? 6. If AOL/TWX offer Cox/Comcast a better deal will T/ATHM sit still or will they come back with a right hook to the chin? Though I do agree that AOL/TWX will come back with some type of answer to this (and I am sure it will be brilliant), I find it hard to believe that they can offer the cable companies anything more appealing. Cox and Comcast are both very happy with ATHM and making a ton of capital. Trying to dump them a year from now could prove to be suicidal. ATHM has a major footprint and name recognition for High speed cable access. AOL is still the King of the kiddies, instant messages, and you've got mail. High speed freaks are more into the meat of the web and they want the best connection. That best connection is ATHM not AOL. Don't think that the cable companies don't know this. RR is also a good connection but they would have to implement RR into their systems. I am not a big tech guy but I am sure there are plenty on here who could expound on this dilemma for AOL/TWX/RR. Ron Dior