Time Warner to Spin Off AOL?

image77 writes "The Washington Post is reporting that Time Warner is considering spinning AOL into a separate company via an IPO. You might recall that AOL bought Time Warner for over $100 Billion in 2001, and then went on to lose almost that much in 2002."

Comments

Aol is dying

[guildsolutions]

AOL is a dying system. It was first used as a dial up connection with an interesting GUI. this is no longer what the end user wants. They still focus on dial up, versus the exploading broadband arena. IMO this is one of the first steps to its grave. Seperation of the company who's more or less holding it afloat.

AOL? Hahaha you use AOL? damn dude.... I feel sorry for ya.

*confuzzled*

[JamesTRexx]

AOL bought Time Warner, and now Time Warner decides to spin off AOL? Who's the boss of whom here?

Re:*confuzzled*

[nanojath]

I imagine when it came down to business, the components and leaders capable of making (or avoiding losing, as the case might be) the most money ended up running the show.

Re:About time, too -

[HiThere]

Technically, it was an acquisition. In practice it was a merger...that is now unmerging.

In some ways it's similar to HP's purchase of Compaq, where Compaq management ended up running HP into the ground (after running Compaq into the ground).

A moronic business move.

[supabeast!]

In the years since the AOL/TW merger/buyout the two companies have had numerous chances to unite their collective business models. How hard would it really be to turn AOL into a subcription service that provides access to a massive amount of content - magazines, books, music, television, movies - with tiered access options, one of which would include the old AOL ISP service? Success would be almost guaranteed, after all, the two companies had some of the best marketing departments in the world, given that they both made the majority of their money by convincing people to spend billions of dollars on overpriced entertainment.

This has to be the biggest missed opportunity of all time. If the shareholders were smart they would sieze this last chance to revolt, replace the board with people who have spines, and fire the entirety of the AOL/TW senior management, replacing them with some visionaries who actually deserve to handling a company with so many great possibilities, and not a bunch of worthless cowards afraid to transform the company into the world's first digital entertainment empire.

Good riddance -- to Time Warner, that is.

[IGnatius T Foobar]

Time Warner is the worst thing that ever happened to AOL. Yes, you heard me right. The moment Parsons stepped in, AOL lost its soul. Parsons was more than happy to sell out to Microsoft, putting the final nail in Netscape's coffin and killing off the possibility of a future in which tens of millions of AOL subscribers would have a Gecko-based browser embedded in their client software. If it weren't for TW and Parsons, IE's market share might be somewhere around 50-60% today.

I'd love to see AOL spun off, and Steve Case put back at the helm. I'd love to see Bill Gates dartboards put back in place at AOL. I'd love to see a plucky independent AOL taking stabs at Microsoft on a daily basis again. Let's see it happen. If this breakup happens, as far as I'm concerned it'll be good riddance to Time Warner.