Charles Schwab & Co., Inc.

Internet Daily for Tuesday, May 29, 2001
by Frank Barnako CBS MarketWatch.com

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MSN bids for unhappy AOL users

Microsoft's MSN is rolling out a nationwide ad campaign to lure
AOL Time Warner's America Online users in the wake of AOL's
recent price increase. MSN offers three months of free service
and then a rate of $21.95 per month through the end of 2002. AOL
raised its monthly rate from $21.95 to $23.90, and since that
rate hike Microsoft  says its call centers have taken 50% more
inquiries about switching to MSN. The company says the free
months and subsequent $21.95 rate could save a user $90 by the
end of this year.

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U.S. government tops Amazon as leading Web retailer

The United States government sold more than $3.6 billion worth of
goods online last year, a study by Federal Computer Week magazine
found. That compares with $2.76 billion in Amazon.com sales for
its fiscal year 2000. The more than 160 federal Web sites sell
everything from Treasury bonds, bills and notes, surplus military
aircraft, Herbert Hoover T-shirts, and subscriptions to FDA
Consumer magazine.

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Canada, Taiwan lead in music downloads

Young adults in Canada and Taiwan are the most active users of
online music, according to a new study, with 76% of the 18- to
24-year-olds in each country having downloaded songs. Canadian
market researchers Ipsos-Reid said the figure is 75% in Hong Kong
and Sweden, 74% in South Korea and 73% in the United States and
Argentina. One in four Canadian households has high-speed Net
access, the researchers said, compared to one in eight in the
United States. Among those who are older, 42% of 25- to
34-year-olds had downloaded songs. For 35- to 54-year-olds it was
29% and for those over 55 it was 16%.

Editor's Note: Neil Chase, a reporter at CBS.MarketWatch.com, is
filling in for Frank Barnako.

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