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Technology Stocks : Int*l:when the bullet hits the bone -- Ignore unavailable to you. Want to Upgrade?

To: stak who wrote (16)	11/14/1998 5:08:00 AM
From: stak	Respond to of 17

MONEY FOR NOTHING Jun 21, 1998 The billion dollar question is: How can a company get a much, much larger percentage or number of eyeballs as fast as possible? In order to do this both the PC user and the company must receive a tremendous benefit. A mutual gain or a win/win situation will drive up the penetration of PC and Internet use in North America very quickly. If only one side gets most of the benefit then penetration will be much slower. So here goes... Look for AT&T give away "free internet devices" In a momentous gesture, the telephone companys will offer a free Internet device for checking e-mail and surfing the Web! Yup, you read that right. FREE. A $300-$700 Internet/e-mail consumer product. But wait, that's not all, they'll also throw in 5 hours of free connect time for EVERYONE, EVERY MONTH! People could also elect to go with unlimited time for around $20/month. Unfortunately, at the beginning of the program rollout, only those who subscribe for 1 year unlimited time will get a device for free. This will change as more product and users get online. The cost of the device should go down as higher volumes are manufactured. More eyeballs means that more can be charged for ads. The end result is that the device will be able to be given out free of charge. Who in their right mind gives something that expensive away?!? It's crazy!!! How do they pay for it? Initially the money spent on TV, audio, print and direct ad campaigns would have to be lowered considerably. The money saved would be spent strictly on financing the hardware purchases. A deal with a manufacturer would also have to be negotiated. Then the company will have to go out to sell Web ads to others who want access to a guaranteed market. That is, sell their "eyeballs" for ad money to support their new "portal" www.mainstreetportal.com. After many years each household should have an e-mail/Internet device. 90% of America could be connected with 100.0% of those people going to the www.mainstreetportal.com site. They would dial into a free local call telephone number. If users want to upgrade bandwidth to ADSL, then a password protected site should be used to safeguard e-mail and to make sure that they visit the portal. Otherwise all other areas could be password free. So the tradeoff for the e-mail/Internet device is a possible ISP charge. "But, if I don't want to pay anything, I still get 5 hours free per month forever?" That's right 5 hours free, forever plus 1 e-mail address. You'll have to pay more if you want more e-mail addresses,but that decision is up to you. So I can do e-mail, chat, or surf the Web, do whatever I want with my 5 hours?" To help pay for your free time we'll put ads into the portal from companys that we think you'll like. "OK that's fair enough. How do I sign up???" In this scenario the customer gets a free e-mail/Internet device and connect time. The telephone company gets access to possible revenue in the future. This way all of America could become connected. Even technopeasants(those that don't use or own computers at all) could do basic cyber things if they want.----a kind of money for nothing...----