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AOL in free PC deal
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June 30, 1999: 10:06 a.m. ET
CompuServe users could get free computer from eMachines rebate
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NEW YORK (CNNfn) - America Online inked a deal with low-cost PC maker eMachines that could give free computers to those who sign up for its CompuServe 2000 online service, the company said Wednesday.
According to the offer, consumers who sign up for a three-year membership to CompuServe 2000 service will get a $400 rebate toward the purchase price of an eMachines personal computer.
Since eMachines makes computers in the $399 to $599 price range, those who sign up for the service and choose the lowest cost model essentially would receive the PC free with the service.
CompuServe 2000 is an upgraded version of CompuServe's previous offerings. CompuServe has about 2 million members and is considered by AOL to be its "value" service. CompuServe 2000 costs $9.95 per month for 20 hours but also offers a $19.95 unlimited monthly plan.
Spokeswoman Wendy Goldberg said AOL is looking at other partners and could expand its plans for other such computer freebies.
"We are looking at the next wave of Internet users and for those users, price matters," Goldberg said. "CompuServe is our value brand and we see this as a way to attract new members and retain them."
The $400 rebate offer begins Saturday and runs through July, although America Online (AOL) may extend it for a longer period.
In addition to the rebate offer, eMachines will preinstall AOL and CompuServe 2000 software into its computers and AOL will make a minority investment in eMachines.
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