Network Optimization News
Today on Network Optimization News:

Study announces nation's most "digital savvy" cities

NEW YORK -- Austin, TX, is the most "Digital Savvy" city, according to a new analysis from consumer and media
research firm Scarborough Research. Twelve percent of Austin adults are Digital Savvy*, and they are almost twice as
likely as the national average to be in this leading edge consumer segment. Las Vegas, NV, Sacramento and San
Diego are also leading Digital Savvy cities, with 10 percent of their residents having this higher level of technological
orientation and adoption. Nationally, six percent of all consumers are classified as Digital Savvy. The ranking of Digital
Savvy cities is part of a just-released complimentary Scarborough report, "Understanding the Digital Savvy Consumer,"
available for download at www.scarborough.com/freestudies.php.

In terms of purchasing patterns, Digitally Savvy consumers are a luxury-oriented group. They are 56 percent more
likely than the average consumer to own or lease a luxury vehicle; 175 percent more likely to have spent $500 or more
on men's or women's business clothing during the past year and 49 percent more likely to own a second home.
Online, this consumer group is equally high-end in its shopping behavior.

More than half (54 percent) of the Digital Savvy spent more than $500 online during the past year, and 35 percent
spent upwards of $1,000 during that timeframe. They are far more likely to spend online in high-end purchasing
categories, such as automotive and travel, as well as every day items, such as books and clothing.

"The most Digitally Savvy markets are known for leading the nation in a variety of hi-tech behaviors. They also typically
have the presence of major universities and represent established tech corridors in the U.S.," said Gary Meo, senior
vice president, print and digital media services, Scarborough Research. "The Digital Savvy is a consumer segment
which is important to monitor -- both locally and nationally. They are early adopters when it comes to fully integrating
new technologies into their lives, and their shopping patterns, demographics and lifestyles could presage behaviors
of consumers across the country."

Politically, Digital Savvy consumers are 25 percent more likely to be "Independent" voters **. In terms of other major
political parties, they are on par with the national average with being Democrat or Republican.

Active lifestyles and on-the-go living are the hallmarks of the Digital Savvy. They are far more likely to enjoy athletic
leisure activities including basketball, yoga, free weights training and jogging. The Digital Savvy are 18 percent more
likely to have longer commutes -- one hour or more to work each way. Given this active lifestyle, they rely on cell
phones for communication and information. More than half (59 percent) of the Digital Savvy use their cell phones for
email.  They are, on many levels, an active and "on the go" group and their digital savvy is a natural compliment to that
lifestyle.

Demographically, the Digital Savvy are male, young and wealthy. Fifty-six percent of them are male and 77 percent of
this consumer group is below the age of 44. They are 132 percent more likely than the average consumer to have an
annual household income of $150,000 or more. In fact, more than half (57 percent) of this consumer group has an
annual household income of $75,000 or greater.

CBS to Pay $1.8 Billion for CNET Networks

Article excerpt courtesy of The New York Times

CBS said Thursday it would buy CNET Networks for $1.8 billion in cash, marking its biggest online acquisition since
hiring Quincy Smith, a former media and technology investment banker, to lead its interactive unit in late 2006. The
deal came as CNET, whose assets include a popular technology-news Web site, was trying to fend off a group of
activist investors seeking to take control of its board of directors.

A year and a half ago, Leslie Moonves, the chief executive of CBS, sought to reassure Wall Street that his efforts to
expand CBS’s Web footprint would not include expensive acquisitions.

“We are not going to spend $1.6 billion on YouTube,” he told The New York Times, referring to the video-sharing site
that Google had recently bought. “We are looking for the next YouTube and Quincy knows all the players.”

Mr. Moonves now appears to have decided that CBS needs to spend at least that much to build out its Internet
presence and make it attractive to advertisers.

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