AOL Layoffs: Dial-up Fades, New Mediums Emerge

The news for AOL hasn't been good for a while.  Recently, the AP reported -- I saw it on MSNBC's Web site -- that AOL is laying off 1,300 employees, about 7 percent of its workforce, and closing a call center. 

This comes as broadband Internet access has become so inexpensive -- cable, DSL, etc. -- that it makes little sense not to have it.

While AOL tried to spin this as customers getting more sophisticatedOld Phone with less need for phone support, it's hard not to believe that this has more to do with the impending death of dial-up.  This is important for communicators as it suggests more and more people will adopt broadband-driven media formats like podcasting -- both audio and video.

The numbers are stark.  The AP reported: 

U.S. subscribers dropped by about 22 percent in the past two years. AOL had 18.6 million subscribers as of March 31, down from a peak of 26.7 million in September 2002, as more Internet users drop dial-up connections in favor of broadband.

That's 8 million-plus subscribers that most likely moved to broadband since 2002.  And that's only AOL!  

The lesson is simple.  In the not-too-distant future almost everyone we might want to reach is going to have broadband connections.  They will be listening to audio over their computers and via downloads, and watching video of their favorite TV shows, movies or video podcasts.

They will be open to receiving other information in this manner.  That means our early push into Web-based multimedia distribution is absolutely on the right track and has nowhere to go but up.

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