May 2, 1997 |
America Online, CompuServe and Prodigy Services on Thursday settled government allegations that supposed "free trial" offers resulted in unexpected charges to consumers. The Federal Trade Commission voted 5-0 for the agreement requiring that--among other things--companies get written authorization from consumers before tapping their checking accounts electronically. No fines were levied against the three. AOL, CompuServe and Prodigy said in statements that they are now complying with the law.
April 2, 1997 |
America Online, the largest consumer online service, may be considering a bid for No. 2 CompuServe, the company that launched the commercial online business. Rumors of AOL's interest in CompuServe swept financial markets Tuesday after a New York securities research firm, Wall Street Strategies, said a deal may be in the works. The report sent CompuServe shares up $1.14 to close at $11 in Nasdaq trading. The rumors also boosted AOL's stock by $3.25 to $45.75 on the New York Stock Exchange.
November 22, 1996 |
CompuServe Inc., one of the pioneers of the computer online services business, said Thursday that competition has become so intense that it's abandoning efforts to chase a consumer mass market. CompuServe executives said they doubted their service's ability--and that of rivals such as America Online Inc. and Microsoft Corp.--to make money by aggressively recruiting subscribers through free trial offers and bargain pricing.
August 29, 1996 |
H&R Block Inc. on Wednesday postponed the spinoff of its remaining stake in CompuServe Corp., hoping to raise the stock price before giving the money-losing unit to shareholders. To separate CompuServe from its tax-preparation business, H&R Block intends to improve CompuServe's performance by cutting costs and stemming customer defections to cheaper Internet services.
June 20, 1996 |
CompuServe Names Interim Chairman: The nation's second-biggest online service named a former Hallmark Cards Inc. and BAT Industries executive, Henry F. Frigon, to replace Richard H. Brown, who recently agreed to become chief executive of the telecom concern Cable & Wireless in London. The move comes as CompuServe Inc., with about 5 million subscribers, repositions itself in a market dominated by Internet-based technology. CompuServe also elected Frank L.