Gateway's Strategy for Recurring Revenue Diversification PPT


This PPT slide, part of the 91-slide Computer Industry Analysis Training PowerPoint presentation, outlines Gateway's strategic approach to diversifying its revenue streams, particularly focusing on recurring revenue models. At the center, "Gateway Direct Consumer PCs" serves as the core offering, indicating a commitment to the direct consumer market. Surrounding this core are various initiatives and partnerships that enhance Gateway's service offerings.

Gateway is highlighted as an ISP and portal, suggesting a dual role in providing internet services while also serving as a gateway to additional content and services. This positioning likely aims to create a steady stream of subscription-based revenue from users accessing the internet through Gateway's platform.

The partnership with AOL is significant, as it emphasizes collaboration on non-PC web access devices and broadband initiatives. This suggests that Gateway is not only focusing on traditional PCs, but also exploring emerging technologies and platforms, which could lead to new revenue opportunities. The mention of the Transmeta chip and Netscape Gecko browser indicates a forward-thinking approach, aligning with trends in internet access and device usage.

The slide also references the Verio Alliance, which encompasses web hosting, DSL services, data storage, and e-commerce. This alliance broadens Gateway's service portfolio, potentially attracting a wider customer base and fostering recurring revenue through ongoing service subscriptions.

The inclusion of a "Country store" indicates a physical retail presence, which may serve as both a sales channel and a training facility for customers, particularly small office/home office (Soho) consumers. Financing options are also mentioned, suggesting a strategy to make products more accessible, thereby increasing sales volume.

Overall, the slide presents a cohesive strategy aimed at establishing multiple revenue streams while enhancing customer engagement and service delivery.




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