Facing big loss, an online player sees hopes dim

Article Abstract:

Long-distance phone service reseller, Tel-Save Inc., has reported a third quarter net loss of $41.7 million and has fired its chairman, Daniel Borislow. The new chairman is to be Gabriel Battista, chief executive at Network Solutions Inc. The company attributes its problems largely to an expensive deal it signed with America Online Inc. to market its services. AOL spokesman Barry Schuler says his company exceeded its commitment to sign up new customers for Tel-Save, more than doubling the original goal of 750,000. Despite Tel-Save's dismal performance, share value rose 20% to $12.9375 in Nasdaq Stock Market trading, presumably on the news of the company's new chief executive officer. At the time Tel-Save Inc.'s deal with AOL was signed, it was believed to signal a marketing shift to the new online medium.

Videotex & Teletext, Telegraph & other communications, Wired Telecommunications Carriers, Long Distance Telephone Svc, Telephone communications, exc. radio, Telecommunications services industry, Telecommunications industry, America Online Inc., AOL, Long distance telephone services, Contracts, Appointments, resignations and dismissals, Long-distance telephone service, Talk America Inc., Borislow, Daniel, Battista, Gabriel

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Tiny IDT, an IPO, bucks trend against Internet porn; access provider's ads for sexual fare reap rewards and run risks

Article Abstract:

Internet access provider IDT specializes in providing its customers with images, text and chat rooms that are sexual in nature, and the company's finances are thriving. IDT's marketing strategy of advertising directly to an adult audience contradicts conventional marketing wisdom and recent industry calls for more family-style programming. The company's profits have increased steadily since IDT was formed in 1993, and the company sold 4.6 million shares of stock at $10 each in a Mar 1996 IPO. As the Internet access market continues to expand, allowing in communications giants such as AT&T, providers with a niche marketing angle, such as IDT, may have the best odds of surviving.

Database Vendors, Internet, Information services, Growth, Company marketing practices, Information services industry, IDT Corp., Company growth

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Internet firm delivers news needles from haystack

Article Abstract:

New York-based Interactive Connection started up in 1993 by supplying Web sites with news articles. Clients include AOL and Sun Microsystems. The company's computers select articles from hundreds of publications, index them so that they can be sorted for selection and delivery to client Web sites. The tiny company gets accolades, but some wonder how long this type of service will be needed with more and more concentration on e-commerce.

United States, Services information, Literature Retrieval Vendors, Newspapers, Abstract, Information storage and retrieval systems, Bibliographic databases, Interactive Connection

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