posted on December 17, 2000 10:45:27 AM
Just thought I'd share some:
cmgi a Venture Capitalist who invested millions and millions of dollars into Auctionwatch.com reported.......(source SEC 10Q) excerpts:
".......During the fiscal year ended July 31, 2000 and for the three months ended October 31, 2000, CMGI had operating losses of approximately $2.19 billion and $896.7 million, respectively, and net losses of approximately $1.38 billion and $636.6 million, respectively. CMGI anticipates continuing to incur significant operating expenses in the future, including significant costs of revenue and selling, general and administrative and amortization expenses. As a result, CMGI expects to continue to incur operating losses and may not have enough money to grow its business in the future. CMGI can give no assurance that it will achieve profitability or be capable of sustaining profitable operations...."
CBS Marketwatch: Excerpt: "..... CMGI, which invests in an operates a host of Internet companies, said its first-quarter net loss climbed to $638 million,..."
Their stock is way down. I wonder if they will continue on funding auctionwatch, and if they do, why????
posted on December 17, 2000 12:06:40 PM
Auctionwatch has lots of options, even without CMGI. Plus, their "burn rate" is probably not remotely as high as many other .com's.
The CMGI company to worry about is ExchangePath. That company has an enormous "burn rate"-- it costs a lot of money to run and makes none. The competition is firmly entrenched, possibly unassailable.
I would be surprised if CMGI blows anther cent on that loser, and they can't survivie without it.
posted on December 17, 2000 03:20:13 PM
Yep, AW is going under too unless they start charging or get bought by someone else.
I expect to hear news here just after the new year about them starting to charge. It would be the logical time. Right after the holidays so as to not tick people off too baqly.
posted on December 17, 2000 03:57:36 PMThe CMGI company to worry about is ExchangePath.
CMGI has been having a clearance sale of it's holding recently, either ExchangePath will start bringing in money or it will be on the clearance table soon. It would be wise for ExchangePath not to include the information they were a CMGI company on their web page. Anyone doing research on CMGI would find a very troubled company. A 12/14/00 evaluation of the company by Morningstar.com reads like they were describing a train wreck. They gave a VERY negative review on the company.
posted on December 17, 2000 05:39:32 PMeither ExchangePath will start bringing in money or it will be on the clearance table soon.
Right, but who would buy Exchangepath? I'm sure they are hemorrhaging cash and have little prospects for profitablity. They clearly don't have a stellar management team. Doesn't seem to me that they have any outstanding technology. I just don't see anything there that anyone would want to buy.
----------------------------------------------------------------------
All rights reserved. All wrongs reversed.
posted on December 17, 2000 07:45:42 PM
Yes this is interesting. A while ago I did business with ubid.com- can I say that? In doing the transaction I learned they were a CMGI company. I think that 1stup that had all the free internet services thru them and just folded was also a CMGI company. What happens if Daimler chrysler or AOL - Time Warner goes down too???
posted on December 18, 2000 06:54:00 AM
A very interesting scenario.
I for one have found AW very informative and valueable.
I have asked myself if it was to charge a monthly fee for membership and therefore increase revenues, what would I be prepared to pay?
It seems to be getting very expensive to run auctions , with the ebay fee structure,increased shipping charges ,payment service charges.
Is this something I would be be prepared to pay at all or would this be the final straw that that puts me out of the auction arena.
posted on December 18, 2000 08:56:34 AM
O not to worry people...the great Bidbay is going to buy AuctionWatch! It is the only way they can get included in it and find out who I am!! ROFL!
Merry Christmas to all and to all a good night!
