Internet
Free AOL Sends Go Daddy IPO Packing
08/10/06 - 11:37 AM EDT
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If that's the case, it will be companies like AOL, those that are most aggressive with offering free services, that will be the winners. Of course, AOL must overcome other recent blemishes on its image, such as the release of subscribers' search histories and its reputation for harassing people who want to cancel. Whether AOL's revenue increases over the next couple of quarters will show whether this bold move is paying off or not. Even if AOL can't make its new free-stuff strategy work, other companies that can capitalize on online advertising are likely to tap into the trend it seems to have started. Companies that stubbornly hold on to their premium services likely will find themselves under pressure. Then it won't just be Go Daddy singing the blues.
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