Message Font: Serif | Sans-Serif
No. of Recommendations: 0
Dow Jones is reporting that New York investment firm Welsh, Carson, Anderson & Stowe is in separate talks to acquire Compuserve. But Block "is said to have rejected the firm's offer because it required" they keep a minority stake in Compuserve.

The article portrays CompuServe's European subscriber base and Network Services as the two areas "that have piqued AOL's interest." This would add to AOL's Eurpean membership and to ANS' corporate customers which DJ says "could also help AOL's image among businesses, which has been tainted by AOL's outage last year and the lack of sufficient capacity earlier this year."

As for CompuServe's domestic consumer service, "Any acquirer would have to invest heavily to upgrade CompuServe's network to include the latest Internet technologies and to boost marketing. For AOL, it may be cheaper to close the operation and hope to catch the majority of the subscriber diaspora."

Block won't separate the consumer service from the rest. But "Case wants to do this," said one executive familiar with the talks.

TMF Nico
Print the post  


When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.