America Online, Inc., Bertelsmann, Canal+, and Cegetel Announce Final Agreement to Jointly Provide Internet Online Services in France
Business Wire - June 30, 1998 10:09
%AMERICA-ONLINE AOL %VIRGINIA %COMPUTERS %ELECTRONICS %COMED %INTERACTIVE %MULTIMEDIA %INTERNET %TELECOMMUNICATIONS V%BW P%BW
DULLES, Va.--(BUSINESS WIRE)--June 30, 1998--America Online, Inc., Bertelsmann, Canal+ and Cegetel today announced that they have signed the agreements announced Jan. 29, 1998 establishing a new strategic alliance to provide French consumers with an unparalleled online Internet experience.
Under the agreement Cegetel (36.7%) and Canal +(18.3%) will jointly acquire a majority stake of 55% in AOL and CompuServe France. America Online and Bertelsmann will jointly own 45%.
With more than 285,000 members, the alliance will capitalize on the world-class technology and brands of AOL and its worldwide customer base of more than 14 million members; the editorial creativity of Canal+, which has created France's most popular media web site; the technical expertise and commercial dynamism of Cegetel, the first private telecommunications operator in France; and the marketing and content experience of Bertelsmann, the third largest media company in the world.
Beginning this fall, Canal+ will offer original interactive content developed by its online team exclusively for AOL France. AOL France will give prominent placement to Canal+ programming on its 'Entertainment' and 'Sport' channels.
Canal+'s unique offerings will include a twice-weekly news magazine devoted to sports. AOL France will feature Canal+'s exclusive 'Entertainment' programming such as weekly movie magazine which will preview all new film releases and live chats where AOL France members can chat with their favorite celebrities.
The four partners will continue to develop the CompuServe brand for professional users. CompuServe users will continue to enjoy high quality content and services and benefit from the technological expertise of the new partnership.
"This strategic alliance -- which combines the brand power, ground breaking content, technology, and marketing resources of four industry leading companies -- sets the stage for us to develop the full potential of interactive services in France, resulting in a great offering for this market," said Steve Case, Chairman & CEO of America Online, Inc.
"This alliance will enable us to bring the most easy to use, affordable and compelling Internet online experience to French consumers and business users."
Thomas Middelhoff, who is a member of the Executive Board and designated Chairman and CEO of Bertelsmann AG, welcomed the new partnership: "We at Bertelsmann are convinced that the four partners bring together all the skills and resources that are necessary to reach a breakthrough for the Internet online business in France. After the tremendous success that the joint venture between Bertelsmann and AOL has already achieved with its more than two million members across Europe, it can already claim to be the leading pan- European Internet online service. We are sure that the new partnership will profit from this dynamic development."
"This alliance symbolizes for the Vivendi Group the intention to gain a strong presence in the Internet online services market in France. With our partners AOL and Bertelsmann, we have created the best team to develop Internet online services in France and provide consumers with the best of news, knowledge, commerce, and entertainment services," said Jean-Marie Messier, President and CEO of Vivendi and of Cegetel.
Pierre Lescure, Chairman and Chief Executive Officer of CANAL+, said: "More than ever, the consumer holds all the cards to claim the best service, the most protection and therefore is the true winner. Each partner in the joint venture will bring to the consumer a broad range of services of high value, many of them exclusive - and all at the best price. The development of Internet access in France will also benefit from AOL's global reach."
The current agreement is pending approval by the European Union authorities.
America Online, Inc.
America Online, Inc., based in Dulles, Virginia, is the world's leader in branded interactive services and content. America Online operates two worldwide Internet online services: AOL Interactive Services, with more than 12 million members; and CompuServe, with approximately 2 million members.
America Online, Inc. also operates AOL Studios, the world's leading creator of original interactive content.
Other branded Internet services operated by America Online, Inc. include AOL.COM, the world's most accessed Web site from home; AOL NetFind, AOL's comprehensive guide to the Internet; AOL Instant Messenger, an instant messaging tool available on both AOL and the Internet; and ICQ, an instant communications and chat technology on the Internet.
America Online, Inc. operates online services in eight countries and in four languages. With its partner Bertelsmann AG, America Online, Inc. has provided services in Europe since 1995, and will be providing service in Australia later this year.
AOL also operates international services in Canada and Japan and has plans to launch a service in Hong Kong in the next year.
Bertelsmann
Bertelsmann AG operates as an international media company in dynamic growth markets, occupying top market positions worldwide. About 60,000 employees in more than 300 individual companies provide information, education and entertainment in 50 countries, developing contents and programs and providing production and other services in the field of media. Sales amount to DM 22.5 billion.
The business fields of the company include book clubs, literary and scientific publishing companies, daily newspapers, consumer magazines, trade journals, music and film companies, radio and television stations, Multimedia and Internet online services, printing shops and service companies as well as other technical firms.
CANAL+
Launched in 1984 in France, CANAL+ is Europe's largest pay- television group, with renowned expertise in the development of premium and theme channels now totaling over 10 million subscriptions.
CANAL+ is also actively involved in television and movie production, distribution, digital broadcasting, conditional access systems and interactive broadcasting technology.
CANAL+ leads the European digital television market with more than 1.7 million subscribers to its offerings in France, Spain, Italy, The Netherlands and Belgium.
CANAL+ is also involved in several multimedia ventures, both on-line and off-line. The CANAL+ web site (http://www.cplus.fr) is France's most popular television site. It is also the most frequently visited content-based web site in France.
CEGETEL
A subsidiary of the Vivendi Group, Cegetel is the leading private telecommunications operator in France with close to 3.4 million clients and net sales in excess of 10 billion French francs.
Cegetel has rapidly acquired a very significant position in fields already open to competition, particularly in mobile telecommunications with SFR, the leading private operator in the French market which represents nearly 40% of the market share, and TAM TAM radiopaging.
Since Feb. 1, 1998, i.e. one month after the statutory opening of the telecommunications market, Cegetel has been be France's Telecom's main competitor in fixed telephony, under the name. It will be supported by a national network deployed in association with the SNCF (French Railways).
CONTACT: America Online Inc.
Kirsten Powers, 703/265-2787
or
Bertelsmann
Helmuth Runde, 0049-5241-802466
or
Canal+
Jean-Louis Erneux, 33-1-44-25-7581
or
Cegetel
Valerie Piot, 33-1-41-97-7621
or
AOL France
Benedicte Lucien-Brun, 33-1-43-16-4424
|
