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

To: Paul Weiss who wrote (1032)	1/3/1998 7:33:00 AM
From: Bob Zacks	Read Replies (1) \| Respond to of 29970

This set top box developement mentioned by Msft is this a competition to @home or an addition to the @home business? Increased revenues for both companies? See what you folks can dig up.

To: Paul Weiss who wrote (1032)	1/3/1998 9:53:00 AM
From: ahhaha	Respond to of 29970

Shouldn't wonder. That's what's happening. You often hear that TCOMA needs cash. I think that's false. They need presence in order to grow. When you are growing money comes out of the woodwork. The only way TCOMA can grow is to own and advance cable distribution and content. MSFT advances their own interests by embedding themselves into TCOMA's appliance presence; TCOMA receives no return on this investment but goodwill and presence. Whether they can grow revenue per tv hookup remains to be seen. Can they line up good content providers outside of the usual one dimensional non-interactive delivery? If ATHM signs up 10 million subscribers, TCOMA revenue stream rises and that eventually amortizes build-out costs, but this doesn't provide the added value that comes from advancing cable content. TCOMA is less of a beneficiary of @Work and @Media which are ATHM's great value ace kickers in the hole. Other's cash helps the juggernaut rolling, but TCOMA will have to enhance the vehicle on its own and that requires more management creativity, and less cash. MSFT and T indirect investments are the most bullish expression supporting the thesis for ATHM as a long term investment because it confirms the growing understanding that the ownership interrelationships are too complex to enable any one company to cash tender. So ATHM will remain independent, undiluted, and will have to fight their way to success. That's the kind of investment I like, pure. I don't care who owns the shares nor the size of issued as long as it only measurably increases by splits.