With customizable 7.0 versions, AOL and MSN hope to lure more users

11/01/2001

By DOUG BEDELL / The Dallas Morning News

The latest upgrades to Microsoft's MSN portal and rival America Online's desktop software have more in common than their shared version number: 7.0.Both represent redoubled efforts to lure customers to their high-speed Internet services. Both aim to capitalize on personalized options, such as instant weather and traffic updates for subscribers. Both will serve as the platform for new subscription-based services – chiefly music downloads and streams.

Key features

AOL 7.0

FRESH LOOK: The new look puts local, community-focused features, shopping and resources front and center.

RADIO: The first built-in radio service is designed to make it easy for mass-market consumers to access their favorite music online.

PHOTOS: An upgraded You've Got Pictures allows subscribers to upload pictures directly from any digital camera or scanner for viewing, sharing, storing, and printing, and offers free, unlimited photo storage space and a bundled pricing plan for both prints and online photos.

ONE-CLICK ACCESS: This allows users to view high-speed audio and video content threaded through AOL's Entertainment, Music, News, and Sports channels.

WELCOME SCREEN: The new screen features local weather, news headlines, sports, headlines, movies, dining, and weekend guides personalized for each subscriber's hometown.

BOX OFFICE: Consumers can get online access to local entertainment events. Users can also buy tickets for concerts, performing arts, sports, movies and family-oriented events.

ENHANCED E-MAIL: Users can see whether recipients in an e-mail message are currently online, along with adding new screen names to their address books and buddy lists with a single click.

INSTANT MESSAGE AND BUDDY LISTS: Members can quickly expand an instant message conversation with one person into a chat with multiple friends.

NEW MEDIA PLAYER: Support is provided for playback of members' own CDs in addition to nearly all major audio formats, volume control, and the capabilities to organize play lists.

MSN 7.0

MUSIC: Subscribers can select new tunes based on their musical interests. Users can also select an option to stay informed of album releases and other information about their favorite artists.

PHOTOS: Microsoft has simplified sharing, editing, and ordering print photos online. My Photo provides a range of online photo features, including online photo albums, prints, enlargements, cards, and personalized photo gifts, as well as online photo-editing tools.

MESSENGER: A revamped interface is integrated with MSN Chat, so subscribers can send instant messages to other members of their MSN groups.

MEMBER DIRECTORY: This allows subscribers to communicate even when they each use different services, including MSN Chat, MSN Messenger, MSN Communities, and MSN Hotmail.

NEWS ALERTS: Subscribers can opt to receive news and production information. Users select how they want to receive notifications, such as via PC, mobile device, instant messaging, or e-mail.

HOME PAGE AND MY MSN: A redesigned home page loads faster than before and includes a new My MSN, which allows subscribers to personalize their Internet experience.

SEARCH: MSN Search, when used with Internet Explorer 5.0 and later, supports a new feature that will replace the error page that is displayed when a user types a misspelled (e.g., ''www.microosoft.com'') or nonexistent domain name into the browser's address. The user will see a page of site suggestions that closely match the user's intended search.

And both are being launched with massive public relations campaigns, signaling an upswing in competition between the top two Internet service providers.

In this race, Microsoft is playing from a weak second position. AOL is currently the choice of 31 million subscribers; MSN has about 7 million. But MSN contends that it is making headway into AOL's turf.

For consumers, the heightened competition could translate into lower costs. Microsoft is offering three free months of Internet access, then a guaranteed monthly rate of $21.95 for unlimited service through Jan. 1, 2003. MSN began the promotion in response to AOL's July move to raise monthly fees from $21.95 to $23.90.

As these two behemoths escalate their battle for dominance, look for AOL to increase its use of parent AOL Time Warner's access to vast holdings in television, magazines, and film.

Microsoft will counter by using its desktop operating system – the new Windows XP – to push users into trying its own online features, including Microsoft Messenger and MSN Music.

AOL 7.0

Moving up from AOL 6.0 to this new version is more a hop than a leap. The changes are nonetheless noteworthy because they signal a shift in emphasis.

Within the larger, redesigned Welcome window, AOL 7.0 greets users with weather and news information tailored to locale, based on billing information. No longer must you enter a ZIP code to get a personalized display.

Radio@AOL is the company's first streaming music offering, based on its recent purchase of the Spinner.com music portal. Radio@AOL's 75 music channels replace AOL Plus Radio, which had only six.

The company says it will upgrade the low-quality sound of these stations, optimizing them for high-speed connections later this year. Clearly, more music offerings are being set up with enhancements to the AOL Media Player, which allows creation of playlists and CD listening. This platform will serve as a springboard to future subscription music services. A related shopping feature, AOL Box Office, helps users buy tickets for sports, concerts, plays, and movies.

When checking e-mail, users will now see the AOL "running figure" icon next to the names of friends who are online. This melding of AOL Instant Messenger and e-mail programs is designed to help people choose the best and fastest method of communication with friends, family, and business associates.

The e-mail program in 7.0 is a tad smarter and more forgiving. After one or two letters are typed into the recipient field, the program now "auto-suggests" a list of possible e-mail addresses from your address book. And AOL 7.0 will allow slightly larger messages before they're turned into attachments.

As part of its efforts to push special programming designed for its $31.01 monthly DSL Internet hook-ups, the old Multimedia Tower has been scrapped for a High Speed AOL bar, which appears only if DSL, cable, or other fast connections are detected. The bar lets users access an expanded array of live and on-demand coverage from CBS News and the National Football League. Other material comes from Time Warner's CNN, HBO, the Cartoon Network, and E.

MSN 7.0

Microsoft has countered AOL 7.0 by drastically redesigning its Web portal (www.msn.com), making MSN 7.0 faster to load and more efficient. Teensy graphics are now used to make screens fully display 30 percent faster in browsers, the company said.

At the same time, MSN is ramping up its own high-speed offerings to match AOL's DSL reach. Microsoft is expanding its broadband menu through new agreements with Verizon, BellSouth and SBC Communications. This service effort, with plans starting at $39.95, was introduced simultaneously with Windows XP on Oct. 25. Eventually, it will cover 90 percent of the country's 45 major metropolitan markets, said Brian Gluth, MSN senior product manager.

Like AOL 7.0, MSN's new portal has a broadband zone for accessing specialized content, with Disney, MSNBC, ESPN, MSN Music, and other partners as the suppliers.

MSN 7.0 provides a preview of Microsoft's Internet vision, broadly described as the .Net strategy. Microsoft plans to tie all sorts of customized services to portal membership. Inside the redesigned portal, for example, users can configure news, stock, and traffic reports based on their locations. Alerts can be delivered via Hotmail or the MSN Windows Messenger pane.

Setting up a Carpoint alert allows real-time traffic reports to be delivered to the PC, cellphone or PDA at specific times. Alerts from eBay will allow quick notification of the status of auction bids.

Users of MSN's free Web-based Hotmail e-mail service will find better filtering for spam, but they're also being thrown a new charge if they want to store messages beyond 2 megabytes, about the size of two small novels. Recently, Microsoft began offering Hotmail's 118 million users the option to pay $12.95 a year to expand the storage capacity to 10MB, about the same as 10 small novels.

And the newest incarnation of MSN Music presents more customizable options for visitors. Subscribers can now select streaming music based on moods or musical genres. Within My Music, users can also choose MSN Alerts to tell them when their favorite artists are releasing new work or appearing in concerts nearby.

"We've really focused on providing things the Internet was missing before," Mr. Gluth said. "This is more of what users say they want."