Government Approval for AOL/Netscape/Sun Deal

Friday March 12th, 1999

The DoJ has given a thumbs-up to the AOL/Netscape/Sun acquisition/merger/strategic alliance. You can read about it at and at Infoworld.

#7 Re:Government Approval for AOL/Netscape/Sun Deal

by J. Russell <>

Saturday March 13th, 1999 3:53 AM

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I hear you. But for better or worse, consolidation is a global thing. And remember that is in AOL's best interests to distance themselves from Netscape and Netcenter, because not doing so would alienate those, and there are many, who do not like the paternalistic "fambly" image of AOL. Have you ever checked out Netcenter's porn listings (under lifestyle on netcenter)? Not that you should, but that it exists there at all shows how different the audiences are for the two--AOL knows that and won't do anything to scare away Netcenter's clientelle. The two portals (three if you add ICQ in there) do not overlap and generally, Netcentarians are not into AOL's watered-down content.

As for AOL distributing NS--they did so in the past and there is no real change in that. It was one of NSs largest distribution channels and that is specifically why MS went after it. Reversing that will simply revert NS back to a 70 market share...poor IE.

I should qualify all of this by saying you may well be right, in the end, but in the short run, the industry, and NS, need this to happen. Netscape would be chapter 11 without it.