Time Warner CEO: "AOL is not for sale"

Written by Administrator

Wednesday, 07 December 2005

In a report by the Associated Press Tuesday, Time Warner is not interested in selling its AOL unit. Instead, America Online Inc. is seeking a partner to boost its advertising revenue. According to Richard Parsons, Time Warner’s Chief Executive Office, “We are not interested in selling AOL,” he affirms at a press briefing in Los Angeles. However, Time Warner is attempting to convert AOL’s revenue model from one that makes money from advertising by relying on paid subscriptions. The Wall Street Journal reported on Tuesday, that Time Warner might be negotiating with Microsoft to put together an online advertising service, which is designed to compete with Google’s AdSense. Although anonymous sources have reported that two other companies are moving toward a deal to combine their advertising-related sites with AOL, Time Warner could still reverse its direction by expanding its relationship with Google. Currently, AOL is using Google as its primary provider of Internet search facilities. However, once the two companies have reached a negotiation, AOL will eventually drop Google in favor of Microsoft’s MSN search engine service. During the past months, Time Warner has been meeting with Google, Microsoft and Yahoo regarding possible tie-ups with AOL. Nevertheless, no deal has been finalized so far. Yahoo! Inc. ended its bid for AOL last month. Meanwhile, Google has openly stressed the importance of its current partnership with AOL. According to Google, the teams from both companies work together on numerous activities. Google and AOL shares advertising revenue based on traffic gains on AOL’s websites. By Paulene Calinawan Jump2Top.Com Search Engine Optimization Company

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