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To: Dale Baker who wrote (153)11/1/1997 7:24:00 AM
From: Skeeter BugRead Replies (2) | Respond to of 118717
 
dale, i think asnd is cheap at these levels. when the techies turn north again the door will be very small with which to get through and buy asnd, imho.

i still like trps, swtx, peri, nfliw, genzl and gztc and hate mu and gtw.

good luck...



To: Dale Baker who wrote (153)11/5/1997 9:15:00 PM
From: Jason KingRead Replies (1) | Respond to of 118717
 
Hello Dale,

I feel that your comments left out some important advantages that our
company has over its competitors in the Internet gaming industry.

The first would be our on-line experience. We have been running a
successful adult oriented Internet operation for over 2 years, which gives
us a definite advantage when it comes to marketing our products; with our
sites receiving a combined total of over 6 million hits per day, our
on-line marketing abilities speak for themselves.

A second advantage would be our revenues. We are bringing in over $400,000
CDN per month from our current Internet operations, without any revenues
from our recently launched gaming operation. Internet gaming has been
estimated to be a $13.2 billion US industry in Europe and Asia alone next
year. This offers Starnet the opportunity for substantial increases in its
revenues.

Our third advantage is our software. Anyone who has downloaded our software
knows the quality of our product. I honestly believe that none of our
competitors come close to offering the level of game play that our software
provides, and this is only our first release. Future releases will offer
more games, more interactivity, and a pari-mutuels section.

You also mentioned "barriers to entry" being very low in this business. I
would argue that the minimum $100,000 US needed for a gaming licence, the
high cost of setup in a foriegn jurisdiction, the cost for merchant
transactions, and the high cost of producing a competitive gaming product,
will keep most "small" players out of this industry. When you add in the
dollars needed to market effectively, and the programming costs of keeping
up with current competitors, the items really begin to add up.

While I understand your apprehensions, I believe that our advantages will
lead to positve returns in the future, and that we will be major
competitors in the growing online gaming industry.

Yours truly,

STARNET COMMUNICATIONS INTERNATIONAL INC.
NASD OTC-BB: SNMM

Jason King
Vice-President, Operations