***NetZero Subscriber Base Tops Half Million as Consumers Embrace
Ad-Driven, Free Internet Access
(March 17)

Moving from zero to a half million users in record time, five-
month-old NetZero Inc. announced that it has signed on the
500,000th subscriber to its advertising-driven, free Internet
access service—a feat accomplished more quickly than any other
ISP (Internet service provider) in history.

With this milestone, NetZero now ranks as the nation’s 10th
largest ISP by subscriber volume, according to Interactive
Services Report.

NetZero has attracted half a million subscribers since its mid-
October 1998 launch. Sign-ups are occurring at a rate of at least
one every 13.5 seconds, and NetZero is delivering more than 400
million page views per month, placing it among the top 13 sites
by impressions worldwide, according to figures from NetRatings.

By contrast, virtually all of the largest independent, fee-based
Internet service providers have required several years to reach
this subscriber level, and most have grown in part by acquiring
smaller players. AT&T recently reported that its access service
grew by 30 percent last year, topping the industry average growth
rate of 22 percent.

With advertisers that include Disney, Macy’s, eBay, Amazon.com
and Doubleday, NetZero has consistently exceeded advertising
revenue projections and currently is 100 percent sold out.

NetZero provides free Internet access via a local dial-up account
and an e-mail account for each individual user in a household, a
business or at a specific location, such as a school or public
library. To subscribe to NetZero, users must complete a profile
that captures interests and demographic data.

On the desktop, NetZero opens a movable, 1-inch-by-3-inch portion
of an 800 x 600 display that continuously delivers high-quality,
30-second ads in sync with the user’s profile, interests and
online behavior. Unlike banner ads, which are tied to specific
Web sites, NetZero delivers personalized ads directly to the
subscriber—and even provides unique “URL targeting.”

The subscriber can move the NetZero window to a preferred
location on the screen, but cannot close it.

www.netzero.net


Wave Issue 9036 4/6/99 Article 13-01