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Technology Stocks : America On-Line (AOL) -- Ignore unavailable to you. Want to Upgrade?

To: Vendit™ who wrote (10673)	4/14/1999 6:21:00 PM
From: Logistics	Read Replies (1) \| Respond to of 41369

OL To Sell PCs! (NYSE: AOL) April 14, 1999 by Kevin Prigel streetadvisor.com -------------------------------------------------------------------------------- Sources within the America Online camp are rumoring that AOL is about ready to jump into the PC business. Forget about competing with Dell, AOL is hitting the hot market: $400 PCs. According to sources, America Online will offer customers a free PC if they subscribe to a premium version of AOL's service at $30-$40 a month. Included in the package will be continuously updated web browsing software, word processing, and basic spreadsheet functions. The most surprising feature will be that these new machines will not run Microsoft Windows. Leaving Windows and Microsoft's other applications off of the systems should save AOL $75-$80, and make this new service extremely profitable. In addition to selling the customer high-margin web service and a computer, the company will have extensive demographic information on users that will allow it to target marketing extensively at these new users. Finally, new users tend to be the most loyal to the AOL service. That means that at the end of the 24 month commitment most of these consumers will likely renew, with no marketing costs for America Online. The story just keeps getting better...