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ESPN, STARWAVE LOOKING FOR SPONSORS FOR ONLINE SERVICE
Published March 21, 1995
The new online venture between Paul Allen's Starwave service and ESPN (see THE DAILY, 3/10), which unveils a new sports service next month, is looking for sponsors. According to Charles Waltner of AD AGE, ESPN is asking for up to $1M each for the six to eight sponsorships for the service. ESPN will guarantee advertisers a presence on all of ESPN's Online services -- including its current Prodigy site, a version slated to run on the developing Microsoft Network, a World Wide Web site and on AT&T's Ziff-Davis Interchange. Tom Hagopian, VP of ESPN Enterprises: "It seems more efficient than carving up advertising into a hundred different ways." Ticketmaster, owned by Allen, will also have a presence on Starwave, something ESPN "is anxiously awaiting." Ticketmaster's site "eventually will offer transaction capabilities" (AD AGE, 3/20 issue). TECHNO-TRAILBLAZER: With the announcement over the weekend that he invested $500M for a 20% stake in DreamWorks, Allen, the owner of the NBA Blazers, is profiled in this morning's L.A. TIMES and USA TODAY. In L.A., Amy Harmon notes one theory on why Allen invested in DreamWorks: He was "star-struck and the Dream Team" of Jeffrey Katzenberg, Steven Spielberg and David Geffen needed money. But friends and business associates "dismiss as typical Hollywood conceit and jealous griping the suggestion that Allen is star-struck." They say that Allen thinks the people who will drive technology are going to be the people that "make the content" (L.A. TIMES, 3/21). Allen is also the cover story in this morning's USA TODAY Money section. Kevin Maney notes that since '91, Allen has spent about $1B assembling a "promising empire of 27 small companies aimed at the information highway." Worth $4B, Allen says he is using his wealth to nurture new technologies and, perhaps, find the next Microsoft (USA TODAY, 3/21).