Earlier this year, many Internet Service Providers (ISP's) started teaming up with major computer stores to offer special *free or *discounted computers to their customers. The strategy is simple: The customer commits to a three-year or four-year contract with a specific ISP, and receives the free or discounted computer in return for their commitment. The customer gets to
go home with a new, top-of-the-line computer without spending much money up-front. He/She then pays $20-$30 per month for Internet access, something he/she would have probably ended up paying for even if a contract wasn't signed.
But there's a new offer available to Internet users. Some companies are offering unlimited free Internet access to computer users. The user must only provide the company with some basic personal information, and access is immediately attained. A small
advertisement window appears on the user's screen whenever he/she is online. This
advertisement window displays clickable ads, which provide the company with its sole source of revenue. The
advertisement window can usually be placed anywhere on the screen by the user, and doesn't take up
too much screen space.
So, which is a better deal: the free computer or the free Internet access? Let's take a look at the following
scenario to find out:
Option #1
Joe can obtain a free computer from Company A if he signs a four-year contract with a particular ISP. The monthly rate for Internet access with the ISP is $25.
Option #2
Joe can purchase a new computer from Company B for $1,000. He can then sign up for free Internet access
with Company C.
If Joe decides to go with Option #1, he'll be paying $1,200 for his Internet access over the course of four years. If he decides to go with Option #2, he'll be paying $1,000 up-front for his new computer. He'll then be able to obtain free Internet access, but he'll have to put up with the advertisement
window whenever he's online.
Which option would you go with? If you're thinking about purchasing a new
computer, your decision should be based on your answers to the following questions:
Do you have $1,000 to spend on a new computer?
- If not, you'll definitely want to go with Option #1. You'll be spending $200 more in the long run,
but you'd probably be spending more in interest if you'd decided to take out a loan and go with Option #2.
- If you have $1,000 to spend on a computer, ask yourself the following question?
Do you plan on using a dial-up Internet connection for the next four years, or
will you want to set up a faster connection in the near future?
- If you'd like to upgrade to a faster connection within the next four years, you'll want to go with Option #2.
- If you plan on using a dial-up Internet connection for the next four years, ask yourself the following
question:
Would you pay $200 to get rid of an advertisement window that's displayed whenever you're online for the next four years?
-If so, you'll want to go with Option #1.
-If not, you'll want to go with Option #2.
The following computer stores frequently offer packages similar to Option #1:
Best Buy
Circuit City
Comp U.S.A.
The Good Guys
The following companies offer free Internet access like the company
described in Option #2:
NetZero.com
http://www.netzero.net
FreeOnline.net
http://signup.free-online.net/
FreeWWWebUSA.com
http://freewwwebusa.com/
BlueGrass.net
http://www.bluegrass.net/~jclark/freeinternet.htm
Will it be a free computer, or free Internet access? The choice is
yours.
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