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To: ERM who wrote (970)12/17/1997 2:47:00 PM
From: IKM  Read Replies (1) | Respond to of 29970
 
Yee-owch!!! I finally got through to my local CATV provider, an ATHM affiliate, but not one of the core partners. They say they are doing beta testing now and service will be available in my area in July or August (and pigs fly). The price point, I was told, is $400 installation and $60/mo. for cable subs (I'm not) and $70/mo. for nonsubscribers. Comparable for RoadRunner/MediaOne Express is $100 (or free) and $40/$50. It's obvious to me what that 35% cut off the top for ATHM will do to penetration. I'm firmly ensconced in what should be their target market, in an affluent suburb, and far above average income. But damned if I'll pay those prices. Knowing how my similarly situated neighbors view such things, if ATHM's business plan is predicated upon such pricing, they'll have a tough go of it. Any affiliates they don't have firmly bound in are likely to bolt to the UMG/TWX partnership for a significantly smaller fee (said to be 25%).



To: ERM who wrote (970)12/17/1997 2:49:00 PM
From: Bob Zacks  Respond to of 29970
 
AT&T is meeting on wenesday to talk about possible internet investments. I would love to be a fly on the wall at that meeting.

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