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Technology Stocks : CheckFree Holdings Corp. (CKFR), the next Dell, Intel? -- Ignore unavailable to you. Want to Upgrade?

To: HRM who wrote (2064)	1/29/1999 1:27:00 AM
From: g_m10	Respond to of 20297

February Issue of PC Computing has several articles on e-commerce and online banking.... No specific mention of CheckFree in the articles but every little bit helps. Here is a computer magazine "Interactive Week" writing specifically about CF. "Even though it's already a leading bill payment processor for banks, CheckFree is teaming up with a Web portal to make online bill payment mainstream ..." www4.zdnet.com:80/intweek/stories/news/0,4164,2196431,00.html

To: HRM who wrote (2064)	1/29/1999 3:20:00 AM
From: Harry Franks	Read Replies (5) \| Respond to of 20297

Is checkfree a "Gorilla"? There is a book out called "The Gorilla Game" (which I ordered yesterday from Amazon) that talks about the Gorilla stocks - like MSFT. Motley Fool had a review (at the bottom of this page: fool.com ) One highlight is this paragraph: "Gorillas develop only in markets where it's possible to create such an insurmountable competitive position, such as Microsoft's on the PC desktop. These are markets where customers and suppliers would endure huge costs in switching to a competitor's product. Such high switching costs are concentrated in industries where one company succeeds in providing an open but proprietary architecture that offers a discontinuous innovation relative to what's gone before and thus creates an entirely new supply chain. " I believe this is what CKFR is trying to build. If it used to cost you $1.50 to send out a bill, but you can pay CKFR .30 to do it. You get huge cost savings. If you try to duplicate it on your own, you can't. You won't get enough people to surf to your web site to do online billing. You need to let them get your bill where ever the customer wants to - your web site, their bank, a portal, etc. Just like the current system the bill has to go to the customer, you can't expect the customer to come to you for its bill. If this is successful, the we may have a "Gorilla" stock. I plan to continue hanging on to my shares, adding on dips, and watching this plan unfold. The key is the network effects. CKFR needs to get enough people online with their bills to make them the system that everyone has to use. Well, enough of my long winded analysis. By the way, I asked yesterday, if anyone is using a Credit Card that offers CKFR online billing. I want to kill my Quicken Visa (a Travelers - i.e. Citigroup -- Transpoint) card for one that lets me get my bill online. I need to do my part to jumpstart this next Gorilla. Everyone else on this thread should do the same. Harry