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

To: M. Frank Greiffenstein who wrote (27005)	1/7/2001 5:52:06 PM
From: Solid	Read Replies (1) \| Respond to of 29970

Doc, Yes, I am talking about costs of providing service going down. Efficiencies of scale and cheaper raw materials cost given, but... All anyone need do is look at the current mess with DSL and the near irrelevancy FREE ISP has become. Who has found the definitive business model for generation of Web cash? Aside from casino and porno sites many others are a fizzle as the search for the holy grail continues to evolve. I could believe anything but find it not likely that ATHM, MSO's nor AOL/TWX will break their own backs financially to one up each another by lowering sub fees too low to generate sustainable profit. When DSL was first rearing its head and looked fierce in the media articles there was a lot of talk about discounting sub fees. Look at the trouble DSL got into with trying to match the $40/month fees. And they are not even rebuilding their networks in most cases. In light of the actual costs associated with building all the massive BB networks do you see current pricing pressure on end providers like ATHM or RR? Look at T raising cable rates. It would appear fees may be more driven by what folk are willing to pay, for a while. Isn't a huge portion of the internet business model pain the market is currently in from undertaking huge expense with startup/running overhead and not generating enough cash from users to pay for the rent? Looking at the consistency of cable TV pricing from local to local, even in the face of competition from Sat providers, seems to indicate they can hold their ground.