MCI and Microsoft announced a joint venture in the online
services world. CNN's Katharine Barrett: "No money will change
hands in this alliance. The two companies will share revenues
once the venture is up and running." MCI will offer Microsoft
software to its customers; MCI's "internet MCI" will promote
Microsoft Network as a preferred internet provider; and Windows
may soon promote MCI's phone services. Barrett noted the venture
with Microsoft "may have cost MCI part of another partnership --
a venture with Rupert Murdoch's News Corp. to offer online
services." MCI will now reduce its stake in the News Corp.
venture, and CNN reported Murdoch "reassured" his employees that
Oracle would step in and take MCI's part in their online venture
("Moneyline," CNN, 1/29). "NBR's" Scott Gurvey reported sources
said AT&T and Netscape may have an announcement of their own "in
the days ahead" ("NBR," PBS, 1/29).
CURE FOR WHAT AILES YA? Rupert Murdoch will name Roger
Ailes to head the company's planned 24-hour all-news TV service.
The channel will be distributed via cable and satellite (David
Lieberman, USA TODAY, 1/30).
