AOL sponsors may take hits in chat rooms

Article Abstract:

AOL will allow advertisers to pitch their products and services in its chat rooms, beginning a new kind of online advertising. The advertisers will pay almost as much as they do for television ads, $5 to $15 per thousand impressions. Users are not pleased by the idea of the intrusion, but AOL is searching for new sources of revenue after introducing its flat rate pricing in Dec 1996. AOL's advertising revenues were $10.5 million in 4th qtr 1996, but the company plans to raise an additional $25 million in 1997 from the chat room ads. The chat rooms are used by 70% of AOL's users, who largely fit the educated and affluent demographic group coveted by advertisers. While some potential advertisers are pleased with the opportunity, others are concerned about how AOL will handle profanity and verbal attacks on the advertisements. AOL does not use time-delay to monitor the comments posted in chat rooms.

Services, Marketing, America Online Inc., AOL, Advertising, Information services, Company internet strategy, Company marketing practices, Information services industry, Company services, Chat rooms

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GeoCities broke privacy pledge, FTC declares

Article Abstract:

GeoCities and the FTC settled an FTC complaint that the company misled customers by forwarding their personal information to Web-site advertisers, after promising not to do so. The FTC's first move in online privacy adds to the growing demand for regulation of Web sites that divulge consumers's confidential data. More than two million customers use a GeoCities Web site for free home-page and e-mail services in exchange for personal information. Terms of the tentative settlement require GeoCities to specify its data collection and disclosure through a clearly posted notice on the Web site. Another condition forces GeoCities to inform consumers on how to access and remove data. GeoCities, which completed a lucrative initial public stock offering on Aug 12, 1998, does not face any additional action or fines. The company also disputed the FTC's allegations.

Company legal issue, Cases, Privacy issue, Privacy, Web sites (World Wide Web), Web sites, United States. Federal Trade Commission, Web site/Web page development, GeoCities, GCTY

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Internet addresses spark storm in cyberspace; a plan to alter the way new domain names are doled out raises the specter of duplication and misdirected e-mail

Article Abstract:

A disagreement has arisen over which organization is responsible for assigning new addresses on the Internet. Unless the Internet service providers agree on addresses, e-mail cannot be delivered and Web browsers will not all go to the same site when an address is typed in. The International Ad Hoc Committee (IAHC) is presenting a 'memorandum of understanding' in Geneva that lays out a new procedure for distributing Internet domain names. The proposal does not provide for a change in the domain names that already exists, but it has still drawn vast amounts of criticism from fractions in Europe and the US. The European Commission has filed a complaint with the US government concerning the lack of European representation in IAHC's proposal.

Telegraph Communications, Management, Internet, Domain names, Domain structure, Internet/Web Overview, Telegraph services

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