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AOL Cutting 2000 Additional Jobs
butterwise writes "AOL plans to cut 2,000 jobs, or 20 percent of its worldwide workforce, as the Internet division focuses on advertising sales to make up for subscriber losses. 'The latest cuts will pare AOL's staff to 8,000, down from about 18,000 employees in 2001, when the company bought New-York based Time Warner for $124 billion. The combination led to $100 billion in losses and a more than 60 percent drop in Time Warner's stock as customers dropped dial-up Web access.'"
They do not know any better, it is as simple as that really. They either do now know other options exist, think the service is the same, or for many they are to lazy to break their ties with AOL thinking they will lose their email, aim, and other things AOL gives them.
I have asked numerous people why they still have AOL over the years and almost all of them said that they have had it for so long that they are uncomfortable changing for whatever reason. AOL does a great job locking its customers into its systems and making it seem counter-intuitive to switch.
Invexi - a Phoenix, AZ based web design and web development company.
AOL didn't buy Time Warner, they merged in what was widely consider one of the blunders of the "dot com era". A blunder for TW that is. It is also considered one the smartest things AOL CEO Steve Case ever did. Many people believe that he pulled the wool of Time Warner's eyes.
http://en.wikipedia.org/wiki/Time_Warner
The death of dial up did not have to be the death of AOL. TW had all sorts of content it could have sold as a subscription to it's user base before they lost it all. Now they are scrambling and suing their fans to keep their media empire alive. More savvy competitors are cutting into their sales via the internet with no base at all. They expect the treats to draw customers.
DMCA, Hollings, Palladium. What might have sounded like paranoia is now common sense.
I have asked numerous people why they still have AOL over the years and almost all of them said that they have had it for so long that they are uncomfortable changing for whatever reason. AOL does a great job locking its customers into its systems and making it seem counter-intuitive to switch.
don't blame AOL for customers being 'comfortable'.
That's the same reason most people give for using Eudora or Pegasus mail clients. Its not that these companies/products have 'locked customers in' or made it counter intuitive to switch, its simply that people have gotten comfortable, and they don't perceive enough value in changing.
(Not that there is anything wrong with Eudora or Pegasus. But most people using it aren't "choosing to use it", its simply the case that they've used it for so long its just what they use, it works, and they don't want any hassles.)
Because you can't take your aol email account with you. We need email address portability! Gah thinking about that as an idea makes my head wanna plode.
AOL was among the first to profit from the discovery that the future of online services didn't lie with the Geek - and with a half-dozen or more arcane clients for the BBS, FTP, TELNET, USENET, IRC chat, etc.
AOL pioneered flat monthly rates, automatic updates. There were perfectly intelligible reasons why users became comfortable with dial-up AOL and why they remain comfortable with portals like Yahoo now.