America Online unit to reduce subscription costs in Britain; an effort to stem the loss of market share to low-cost rivals

Article Abstract:

America Online Europe's (AOL) British unit AOL U.K. has plans to lower its monthly subscription price to stem market-share loss to leader Freeserve PLC. The price reduction in the UK is a major step because Internet access there is not as cheap as it is in the US and charges are levied by the Internet service provider and by-the-minute for local phone calls. Freeserve PLC does not charge for providing access, but instead shares a revenue-percentage with the telephone company providing the phone service. AOL, which introduced Netscape Online (a subscription-free service) not too long ago, is now seen as undermining its own partner service, but AOL insists the two services are subscribed to by different users - Netscape by budget users and AOL for users who want more content.

United Kingdom, Market share, Consumer prices, Foreign operations, America Online Inc., AOL, Economic policy, Freeserve PLC, AOL (UK) Ltd., Company pricing policy

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Slate drops its on-line subscription fee; Microsoft's electronic magazine gives up on a 10-month experiment

Article Abstract:

For $19.95 a year, users can still subscribe to receive Slate in e-mail format and have access to the site's archives. Publisher Scott Moore attributed the decision to wider Web economic trends. These forecast advertising revenue growing faster (from $1.8 bil, 1998, to $3.1 bil, 1999) than subscriptions, which seem to work only for pornography and investment sites. Under the current Web model for general content sites, free sites get more viewers, and can charge higher advertising rates, which more than offset any loss in subscription revenue.

Commodity & service prices, General Periodicals NEC, Microsoft Corp., Periodical publishing, Periodicals, MSFT, Slate (Periodical)

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Ms. is bought by a concern led by Steinem

Article Abstract:

MacDonald Communications Corp., owner of Working Woman, Working Mother and Ms. magazines, sold the latter to Gloria Steinem and other investors for $3 million. The investor group operates Liberty Media for Women and plans to reactivate the stalled women's magazine that was founded in 1972. Since 1990 the magazine has carried no advertising, supported solely by subscription and newsstand sales. Current circulation is only 200,000, down from 1989's 540,000.

Asset sales & divestitures, Women's Periodicals, Publishing industry, Mergers, acquisitions and divestments, Abstract, Women's magazines, MacDonald Communications Corp., Liberty Media for Women

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