Message-ID: <10637060.1075845219387.JavaMail.evans@thyme> Date: Mon, 4 Jun 2001 08:00:00 -0700 (PDT) From: thestandard@boing.email-publisher.com To: mediagrok@thestandard.email-publisher.com Subject: MEDIA GROK: Whose Desktop Is It, Anyway? Mime-Version: 1.0 Content-Type: text/plain; charset=us-ascii Content-Transfer-Encoding: 7bit X-From: "TheStandard.com" @ENRON X-To: Media Grok X-cc: X-bcc: X-Folder: \Lewis, Andrew H.\Lewis, Andrew H.\Deleted Items X-Origin: LEWIS-A X-FileName: Lewis, Andrew H..pst ===================================================================== THE STANDARD'S M E D I A G R O K A Commentary on What the Press Is Reporting and Why ===================================================================== | http://www.thestandard.com | Monday, June 4, 2001 TOP GROKS: * Whose Desktop Is It, Anyway? * Wal-Mart Wants You to Surf Like It's 1999 * Every Net Company Needs a Textbook Publisher MORE NEWS: * A Call to Arms * Microsoft, AOL Go Back and Forth on Windows XP * UAL Corp. Unit to Acquire Mypoints.com * Cypress Semi Sees 2nd Quarter Revenue $175M-$185 Million, Below Year-Ago /=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-= advertisement =-=-= **The Standard's new COMPANY INDEX** Find information about hundreds of companies in our new COMPANY INDEX. Browse through the alphabetical listings, industries and categories, or perform a search to find the company you're looking for. The Company Dossier hosts articles, a company profile, stock information and financial overviews, key players and contact information. http://click.email-publisher.com/oaaab7qaaP7YrbVAtCeaaaacSb/ =-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=/ TOP GROKS ~~~~~~~~~ Whose Desktop Is It, Anyway? Over the weekend and today, everybody went high with stories about the AOL-Microsoft talks. They're off. No, they're back on. You could find support for any theory you liked, amid all the leaking and the spinning. The Washington Post's Saturday story said that the talks had broken down on Friday, and it outlined some of the possible reasons for the rift. The paper cited a theory that the sticking point was Microsoft's desire that AOL make its Instant Messaging service compatible with Microsoft's. Another version claimed that Microsoft wanted AOL to sign an exclusive deal to use its Media Player, locking out rival RealNetworks, the media solution now used by AOL. The Post's reporter was skeptical of both explanations of why the talks tanked. Today's stories all noted that the talks had resumed over the weekend. The Wall Street Journal explored some of the nuances in the giants' relationship with an explanation of how Microsoft is changing what it means to be "on the desktop." It seems the company's new Windows XP, to be released in the fall, will boot up initially without the familiar scatter of icons on the desktop. Users will be able to add icons, according to the Journal, but a new program called "the sweeper" will ask them periodically if they want to remove the less frequently used ones. Microsoft's detailed control over the user's experience prompted AOL to tell lawmakers recently that Windows XP is "anti-innovation, anti-consumer and anti-competitive," according to the Journal. Writing in the New York Times, John Markoff updated the story with the help of his own anonymous sources, who told him that Microsoft had been "trying to persuade AOL to agree not to lobby against Microsoft in current or future court battles," but that AOL is "holding open the possibility of pursuing (antitrust) action" against Microsoft if the talks break down. No-namers inside AOL told Markoff that the media giant has grown increasingly concerned of late over Microsoft's Dot-Net strategy and its plans for Hailstorm, a technology intended to aggregate consumers' personal information and transactions. Markoff concluded with a review of the Internet appliance that AOL had once planned to introduce. Markoff quoted another no-namer who said that AOL has "backed off on that and decided not to compete and to come in through the living room instead." - Keith Dawson Microsoft, AOL Back in Talks on AOL in Windows XP http://www.thestandard.com/article/0,1902,26858,00.html Microsoft, AOL Suspend Discussions to Renew Deal http://www.washtech.com/news/media/10202-1.html Rivals' Talks on Online Deal Falter; Windows XP May Lack Link to AOL http://interactive.wsj.com/articles/SB991606402955752823.htm Microsoft and AOL Discuss Linking Products http://www.nyt.com/2001/06/04/technology/04SOFT.html Talks between Microsoft and AOL underway again, software giant says (AP) http://www.siliconvalley.com/docs/news/svfront/030534.htm Microsoft, AOL resume Windows XP talks (Reuters) http://news.cnet.com/news/0-1005-200-6168880.html Microsoft's new IM takes aim at AOL http://news.cnet.com/news/0-1003-200-6176378.html A new song ... and the same old dance http://www.boston.com/dailyglobe2/155/business/A_new_song_and_the_same_old_dance+.shtml --------------------------------------------------------------------- Wal-Mart Wants You to Surf Like It's 1999 A number of outlets ran an AP story by Chuck Bartels about Wal-Mart's much-delayed introduction of its own branded online service. The offering results from a 1999 partnership with (who else?) AOL. It will be based on the CompuServe online service, which has long since been acquired by AOL. Bartels reported that it will be priced below $10 per month. Bartels questioned the wisdom of introducing a bargain ISP service at this point in the tech slump, noting that other "experiments to offer free or low-cost Internet service have been largely unsuccessful." The reporter quoted a Gartner analyst who "questioned the buying power of those consumers that Walmart.com is aiming to reach." A Wal-Mart spokesman responded with this spectacularly mixed metaphor, "We can't back off on growth. The ball's on our shoulders." Wsj.com's Melinda Patterson Grenier compared the planned Wal-Mart Connect service in detail with its rival Kmart's bluelight.com, which has offered three-tier Internet service since December 1999. By some odd coincidence, this is the same month that saw the announcement of the Wal-Mart-AOL deal. Grenier raised more questions about Wal-Mart's business model by pointing out that bluelight.com had recently changed its terms of use to charge users who are not buying anything from the site. Wal-Mart has no plans for such a tie-in. SatireWire gets the last word on Wal-Mart Connect. Here's how the site's brief story sets the scene for the retailing giant's announcement: "Emerging from the deep, isolated cavern where its executives apparently have been hibernating for the past two years, Wal-Mart Friday proudly announced ..." Boy, it's bright out here. - Keith Dawson Walmart.com set to offer cheap unlimited Internet access (AP) http://www.nando.net/technology/story/19821p-339111c.html Wal-Mart to Offer Low-Cost Web Access As BlueLight.com Extends Its Access Plan http://interactive.wsj.com/articles/SB991355964290760596.htm (Paid subscription required.) Earth to Wal-Mart ... Retailer Thinks Low-Cost ISP a Good Idea http://www.satirewire.com/briefs/walmart.shtml --------------------------------------------------------------------- Every Net Company Needs a Textbook Publisher Guessing Vivendi Universal's next move in its alleged march to Net domination could become the next office betting pool. On Friday, Vivendi - which has already cobbled together a music company, a Hollywood studio and a Euro digital-TV outfit - forked over $1.7 billion for publisher Houghton Mifflin. What's next? Pick a square: Women's clothing? How about fast food? No matter how much Vivendi spends to transmogrify its business into a Net-age dynamo - and you'll recall it just forked over $372 million for MP3.com - reporters feel compelled to mention its low-tech past. Several outlets mentioned that Vivendi has nipped and tucked its way to 25 acquisitions over the last five years or so. Despite the cosmetic enhancements, the New York Times noted that Vivendi is "traditionally a water-treatment company." At least the Washington Post's Paris-based correspondent explained that it "started out as a water utility before becoming a multimedia empire." The Los Angeles Times even invoked its sewer utility past. Ooh, the indignity. As for Houghton Mifflin, if your response was "Houghton who?" you weren't alone. Vivendi ponied up $1.7 billion, mostly for Houghton's textbook business, but in the publisher's hometown of Boston, newspapers skipped that angle to focus on Houghton's smaller but historically glam nonfiction division, which brought us everyone from Mark Twain to James Carroll to that more recent literary coup, "The Wind Done Gone." One gloomy Bostonian even wondered whether the sale was somehow an extension of the Curse of the Bambino. The Red Sox haven't won a World Series since they traded Babe Ruth to the hated New York Yankees in 1918. Given Wall Street's skepticism over Vivendi's makeover and the severity of the curse - the BoSox's championship drought is the league's second longest - Grok wonders whether the French gave this angle its due. Reporters didn't, but they turned thumbs-down on the deal anyway, scratching their heads as to what Vivendi chairman Jean- Marie Messier was thinking. The juiciest rebuke came from the Guardian, which knuckle-rapped Messier for "reading from last year's new-economy script." Enough with the trophy transactions, the Brit daily tsk-tsked. It's time to "start proving that this extraordinary corporate entity can actually make substantial profits." In other words, batter up, Vivendi. Oh, and don't choke. - Deborah Asbrand Vivendi Universal Will Purchase Houghton Mifflin for $1.7 Billion (Reuters) http://www.thestandard.com/article/0,1902,26827,00.html Vivendi to Acquire Houghton Mifflin In a Cash Deal Valued at $1.7 Billion http://interactive.wsj.com/articles/SB991399666932519014.htm (Paid subscription required.) Vivendi Will Acquire Houghton Mifflin for $1.7 Billion http://www.nytimes.com/2001/06/02/business/02BOOK.html (Registration required.) Vivendi to Pay $2.2 Billion For Houghton http://washingtonpost.com/wp-dyn/articles/A10350-2001Jun1.html Houghton writes end to a chapter http://www.globe.com/dailyglobe2/153/nation/Houghton_writes_end_to_a_chapter%2b.shtml Houghton Mifflin acquired by Vivendi http://www.boston.com/dailyglobe2/153/business/Houghton_Mifflin_acquired_by_Vivendi+.shtml Houghton Mifflin is sold http://www.bostonherald.com/business/business/book06022001.htm Deal ends Hub chapter in publishing http://www.bostonherald.com/business/business/last06022001.htm Vivendi to Buy U.S. Publisher http://www.latimes.com/business/20010602/t000045927.html Now for profits from deal-a-month Messier http://www.guardian.co.uk/business/story/0,3604,500286,00.html Vivendi buys US education publisher http://news.bbc.co.uk/hi/english/business/newsid_1366000/1366206.stm --------------------------------------------------------------------- /=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-= advertisement =-=-= NOMINATIONS WANTED FOR THE BUSINESS TRANSFORMATION AWARDS Nominate your favorite company for The Industry Standard's Business Transformation Awards, to be announced in October at the Net Returns conference. Click on the url below for more information. http://click.email-publisher.com/oaaack1aaP8MHbVAtCeaaaacTb/ =-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=/ /=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-= advertisement =-=-= GET 4 FREE ISSUES OF THE INDUSTRY STANDARD The Industry Standard is the only weekly newsmagazine devoted to covering the New Economy--and you're invited to sample 4 issues--absolutely risk-free! Click on the url below to order today. http://click.email-publisher.com/oaaab7saaP7YtbVAtCeaaaacUb/ =-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=/ MORE NEWS AT THESTANDARD.COM ~~~~~~~~~~~~~~~~~~~~~~~~~~~~ A Call to Arms By Kristi Essick The demand for cell phones and computer chips is helping fuel a bloody civil war in the Democratic Republic of Congo. http://www.thestandard.com/article/0,1902,26784,00.html?nl=mg Microsoft, AOL Go Back and Forth on Windows XP By Reuters The two giants are back at the bargaining table after talks broke down late last week. http://www.thestandard.com/article/0,1902,26858,00.html?nl=mg UAL Corp. Unit to Acquire Mypoints.com By Reuters The Internet subsidiary of United Airlines offers $113 million for the online direct-marketing firm. http://www.thestandard.com/article/0,1902,26860,00.html?nl=mg Cypress Semi Sees 2nd Quarter Revenue $175M-$185 Million, Below Year-Ago By Dow Jones First-quarter revenue at the semiconductor company was $262 million. http://www.thestandard.com/article/0,1902,26863,00.html?nl=mg --------------------------------------------------------------------- MORE LINKS ~~~~~~~~~~ Casualties of a Shakeout http://washingtonpost.com/wp-dyn/articles/A8834-2001Jun1.html PSINet Heads to Bankruptcy Court http://washingtonpost.com/wp-dyn/articles/A10331-2001Jun1.html Timezone cheats using Net for exams http://www.thetimes.co.uk/article/0,,2-2001190449,00.html Analysts Set To Give Bezos The 3rd Degree http://www.nypost.com/business/31776.htm Did AnnaK Kill J.Lo Virus? http://www.wired.com/news/technology/0,1282,44230,00.html It's liftoff for Orbitz http://news.cnet.com/news/0-1007-200-6179186.html Nevada casinos eye their piece of the Net pie http://www.zdnet.com/zdnn/stories/news/0,4586,5092022,00.html STAFF ~~~~~ Written by Deborah Asbrand (dasbrand@world.std.com), Michaela Cavallaro (mcavalla@maine.rr.com),Keith Dawson (dawson@world.std.com), Jen Muehlbauer (jen@englishmajor.com) and David Sims (davesims@sonic.net). Edited by Jimmy Guterman (guterman@vineyard.com). Copyedited by Jim Duffy (jduffy@thestandard.com). GET THE MAGAZINE ~~~~~~~~~~~~~~~~ 4 RISK-FREE issues at this URL: http://click.email-publisher.com/maaaclWaaP8N5bVAtCeb/ GET MORE NEWSLETTERS ~~~~~~~~~~~~~~~~~~~~ The Standard newsletters cover the media, stock market, e-commerce, music, law and more. To SUBSCRIBE to other newsletters, click here: http://click.email-publisher.com/maaaclWaaP8N6bVAtCeb/ To unsubscribe, click here: http://thestandard.email-publisher.com/u/?bUrKAM.bVAtCe ADVERTISING INFORMATION ~~~~~~~~~~~~~~~~~~~~~~~ For more information on advertising in The Standard Newsletters, contact: Erik VanderKolk (evanderkolk@thestandard.com) FEEDBACK AND PROBLEMS ~~~~~~~~~~~~~~~~~~~~~ Send letters to the editor to letters@thestandard.com. 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