@HOME - AOL Deal Brewing?
xTg writes "News.com is reporting that Excite@HOME is restructuring its divisions to facilitate a merger with AOL. The most important question in my mind:
Does this mean I have to pay more for my cable modem now in exchange for AOL "premium" content? Does AOL like linux? blah." I don't care whether it's AOL or @home, as long as I can keep using Linux with my cable modem and they don't jack the price too hard. Whatever. We customers are nothing but pawns in all of this until the cable monopolies either get some solid competition or are forced to open their lines to outside ISPs. I second xTg's "blah."Update: 10/01 10:48 by H : Apparently, the deal is being denied by AT&T.
I work for iMALL, Inc. which is soon to be acquired by Excite@Home. We just met today with Joe Kraus, one of the six co-founders of Excite. One of the questions asked was "Is there any truth to the rumor that Excite@Home is considering merging with AOL?"
The answer?
"No. I have no idea where this current rumor started. Well, I have some idea, but it really looks like they've recirculated old news about negotiations that were stopped three months before the rumor hit the papers."
He went on to say that yes, Excite@Home was talking with AOL months ago about putting portal links up on Excite pages for AOL/Netscape services. AOL thought Excite@Home's requirements were too high (a stock-sharing arrangement with AOL in exchange for the space) and the negotiations were dropped immediately (we're talking like 6 months ago).
The current restructuring is necessary to ease the burden on corporate heads and to bring divisions more inline with Excite@Home's underlying corporate philosophies and "the way things work" in the company. Things have been a bit uncomfortable since Excite's merger with @Home, but now the two complementary businesses (broadband access & search/portal business) support each other better, as well as make room for the upcoming merger with iMALL to serve as their e-commerce division.
I hope this has helped dispell this unfounded rumor.
Matthew P. Barnson
I learn what I think when I read what I write