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Technology Stocks : America On-Line: will it survive ...? -- Ignore unavailable to you. Want to Upgrade?


To: Jan Garrity Allen who wrote (12260)12/1/1998 9:43:00 PM
From: Jorge  Read Replies (2) | Respond to of 13594
 
Jan...High Speed Cable access is an area AOL wants to develop...The reason is that, as of now anyway, bandwidth of cable allows for 50 times faster internet speed/download compared to internet access from regular lines that most people currently get their access from.....The newer,High Speed telephone wires, developed to increase bandwidth/internet download time only increases speed by 25 times, over regular lines.......

AOL sees an increasing market for internet services/content over cable in the future and wants to partner with a Cable company for this....Time Warner was mentioned by some in the know(?) as a possible deal partnership...@Home is the most recent speculation.....Either way, Internet Analyst Keith Benjamin from BancBoston Robertson Stephens said, about 3 weeks ago, a Cable deal would probably be forthcoming by the end of the year.

As mentioned, bandwidth is something AOL is wanting, but also Cable will allow AOL's goal of developing "AOL-TV", a content based internet sort of channel...I think this would be a BIG winner!!! and so does Steve Case and company.

Once this deal is announced it can only be one more positive step forward for AOL and not the kind of thing that will be received with just sideways trading...Look for AOL to go up on this announcement.

Regards, George