Of The Day
But, sometimes not every day.
The root of all internet facts from the value of
its stocks to the impact it has is just this: the number of people
who are using the Internet is increasing exponentially every
year and the full extent of its potential is virtually unknown.
The sub theme to the potential of the Internet is also equally
vast: as the speed of access for users increases, the amount
of time spent on the Internet increases exponentially. So imagine
that 1000 people are on the Internet at 33 kbps and then they
jump to 56 kbps. The time they spend on the Internet goes up
by at least twice, but more often more. The stepping of access
speed is akin to the old memory increases: the more you have
the more you want. So while the market of the Internet for this
past Christmas season looked good, people who know these things
know that it was most interesting in its directionality. In December
AOL reported 31 million users. But interestingly a majority of
them have never even used their original "free" month,
or whatever. Amazon.com's extensive improvements and remarkable
name recognition is amazing, but the market it taps into is thousands
of times bigger in just the digital aspects than they are now
mastering. So their stock at $103 yesterday, free falling from
$199 on just January 11, 1999, is a wonderful bargain, even though
it 3 to 1 split recently. Microsoft opening at $158 today is
still a great bargain, even though it was $95 in September. That
market, system software, is repeatingly vast. Upgrades are a
must buy. There are so many Internet stocks like those two, pin-pricking
vast markets, driven by software with huge repeating customer
bases, that the handwriting is on the screen.
See you next time?