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To: Jay Rommel who wrote (17701)3/2/1998 3:17:00 PM
From: Keith Hankin  Respond to of 24154
 
But other analysts don't see Microsoft's plan as
quite so wise or innocent. "Charging a referral
fee would be a mistake," said Clare Gillan, a
software industry analyst at International Data
Corp. Gillan noted that Microsoft is currently
heavily reliant on the relationships that it has
built with its resellers. "Why complicate
matters by charging a referral fee when
providing this Web site might threaten resellers
anyway?" Gillan asked.

Though Gillan doesn't foresee Microsoft
completely cutting out resellers in the
foreseeable future, others aren't so sure.

"With this referral fee, they'll get the
resellers to basically fund the development of
the site, and then they pull the old switcharoo
and go after the whole transaction," posited
John Robb, a principal at online brokerage
consulting firm Gomez Advisors.