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Technology Stocks : AUTOHOME, Inc -- Ignore unavailable to you. Want to Upgrade?

To: Frank A. Coluccio who wrote (5818)	2/27/1999 2:30:00 PM
From: ahhaha	Read Replies (2) \| Respond to of 29970

Do all 18 of the other partners in ATHM share T's and TCI's desires to remain sovereign with the ATHM model? It isn't the model which is questionable since there are none better and possible alternatives won't be available before the exclusive agreements expire. Most of the agreements expire in 2001. Not one MSO has the slightest interest in jumping at this time. Each major partner owns a portion of stock in the range of 2 - 5% of issued. It would be inconceivable for any of these holders to sell stock or fail to renew the exclusive agreements. This is true if a better deal could be offered from the competition which is currently TWX. It will be likely to remain true if BEL-AOL Broadband or some other satrapy can offer a better deal, because of the presence of T, telephony, established market, branding, visibility, entrenchment, cost to changeover. Stated another way, may some of the other MSOs and smaller operators be "open" to the the concept of allowing other SPs onto their last mile and head-end cable facilities as well? The agreements with ATHM are exclusive. Whereas in 2001 there is little doubt all MSOs will resign, some may want more flexibility with respect to alternatives unless ATHM can remain competitive by offering equivalent alternatives offered by competitors or comparable price for basic service. To hold price would require amelioration of content. Through the many adaptive schemes like Northpoint DSL and through constant effort to bring on quality content. holding the price under competition should be possible. The threat of MSOs shopping around forces ATHM to continually improve at a rate faster than AOL needs to do the equivalent, since AOL is a monopoly. In fact, do some already support multi-tenancy? Not among the major partners who represent 98% of the potential existing captured BB market.