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Compaq and Disney in $100m love-in

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Compaq and Walt Disney Internet Group today jumped into bed together with a $100 million deal.

The three-year agreement will see Compaq get to run sites such as Disney.com, ESPN.com and ABC.com and advertise on them. Disney will also buy shedloads of desktops and laptops from Big Q.

"This alliance represents a very significant revenue generating opportunity for our business," said Walt Disney Internet Group Chairman Steve Bornstein. "Moreover, it allows us to consolidate our technology platform and focus our planned technology investment with Compaq."

The two giants, which first announced they were in cahoots in February, would not reveal which partner would get what amount out of the deal. But if split equally between the two, $100 million spread over three years equals less than $20 million each per year. Not a huge amount in context of their vast holdings, but at least a little security amid the current profit warning frenzy.

Separately, Disney also sold its Infoseek Japanese operations to Japanese e-tailer Rakuten Inc for $81 million. ®

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