Traditional media groups keep a tight rein, unlike U.S. counterparts.

Internet fever swept Europe in the first six months of 1999, driving deals activity to unprecedented levels. However, a new report says European companies are taking care not to cede the business to upstarts, as their U.S. counterparts have. Within Europe, Internet deals almost tripled in value to $928 million from $346 million, according to investment bank Broadview International. Broadview found that the Web is developing differently in Europe from the way it mushroomed in the United States, however. "Unlike in the U.S., in Europe the top 10 Web sites in most countries are dominated by traditional media companies. European media companies are determined not to cede the Internet to young Web-based companies, as has happened in the U.S.," according Victor Basta, managing director and European head of Broadview International. Broadview pointed out that European companies have flooded to the United States, spending $73 billion on U.S. technology companies in the first half of this year, almost quadrupling the amount they spent in the equivalent period last year.The sheer number of European deals in the United States "reverses the traditional flow of U.S. buyers coming into Europe," Broadview_s Basta said. As far as the European face of the Internet is concerned, Broadview_s report points out "Traditional media groups such as Bertelsmann, EMAP (EMAP), the BBC and Groupe Lagardere (PMMB) have set up separate organically grown operating divisions focused purely on the Internet. The assumption is that many of these divisions will be floated." Broadview found that the total value of all global technology deals hit $545 billion in the first six months, up from $488 billion for all of last year.