170,000 drop in AOL subscribers as users flee
ABC News | at | by Mike
After a relentless decade-long climb to more than 35 million global subscribers, the number of America Online users has slipped for the first time. Analysts believe the drop in subscribers, however minuscule, could foreshadow a gloomier future for an AOL that has been unable to make the transition to high-speed broadband from its domination of the slow-speed dial-up access market.
Figures from Jupiter Research show that AOL holds slightly fewer than one in three U.S. dial-up subscribers, but just one in 30 broadband accounts. Brooks believes the drop in subscribers was softened by broadband customers who hung on to their AOL accounts to retain e-mail addresses. With consumers becoming more comfortable with broadband, many will flee AOL, he said.