AOL recently announced a partnership with Slacker Inc. (why again do you name the company that) to sell music subscription (ad free) for $4 a month-YAWN…
Now on the surface this appears to be going in the complete opposite direction Tim Armstrong has been taking AOL in recently. Tim recently noted in a corporate wide memo, “that content and brands are the next wave of the internet”. He created some position and re-orged a bit to support this thought process. This all comes from their acquisition of the Huffington Post and the aggregation of technology and stand alone sites (like AOL News) into a more streamlined process.
So, why again is AOL selling music again? It’s neither original nor innovative and no matter how many folks they think will pay, it won’t make an impact to the bottom line. And, if they think Slacker, Inc. is accretive acquisition, yikes!
I think this continues dilute the organization and will sooner or later be something that hits the trail.
Managing Director, Search and Media Strategies