Telescan Partners with NBC to Provide Internet Technology and Investment Analytics for CNBC.com

Strategic Insights -

Telescan Inc., an industry leader in developing Internet services, has announced a strategic partnership with the National Broadcasting Company (NBC) to provide proprietary Internet and online financial services technology for CNBC.com, a comprehensive website for personal finance. The partnership comes on the heels of NBC and GE Capital's Equity Group purchasing 9.9% of Telescan in a private placement stock purchase. Under the agreement, Telescan will be responsible for developing customized investment analytics, providing financial data, data retrieval, and hosting services for the site.

Key Takeaways:

  • Telescan will provide proprietary Internet and online financial services technology to CNBC.com, a comprehensive website for personal finance.
  • The partnership comes after NBC and GE Capital's Equity Group purchased 9.9% of Telescan in a private placement stock purchase.
  • Telescan will develop customized investment analytics, provide financial data, data retrieval, and hosting services for the site.
  • The site will operate under CNBC's editorial control and include CNBC's proprietary global market data and analysis.
  • NBC's Interactive unit will build and maintain the site.
  • Telescan expects the partnership to be a significant contributor to its revenue growth.
  • The company will generate revenue from cost reimbursement, fixed monthly license fees, and a percentage of revenue from the site.
  • CNBC is the world leader in live business news and is available in more than 160 million homes worldwide.

Statistics:

  • 9.9%: The percentage of Telescan shares purchased by NBC and GE Capital's Equity Group.
  • 160 million: The number of homes worldwide with access to CNBC.
  • 68 million: The number of homes in the United States with access to CNBC.
  • 13: The number of television stations owned by NBC in the United States.
  • 40%: The revenue growthTelescan expects from the partnership.

Sources:

  • PR Newswire, "Telescan Inc. Announces Agreement with NBC to License Internet and Online Financial Services Technology for CNBC.com" (February 23, 1999)
  • Telescan Inc. (1999) - "Telescan Q1 1999 Earnings Release"
  • NBC Press Release (1999) - "NBC and GE Capital's Equity Group Purchase 9.9% of Telescan"