February 7, 2003

Broadband could cost AOL $1bn in revenue by 2005

In its report Can AOL Bridge the Broadband Gap?Strategy argues that AOL will lose out financially as the dial-up market, which it dominates shrinks (as more and more people sign up to broadband).

Even if punters sign up to AOL's "Bring Your Own Access" scheme, which lets users who get broadband from cable or telephone companies sign up to AOL's content service for $14.95 a month, Strategy estimates that it would cost AOL almost $9 a month per punter in lost revenue.

Link: The Register

Click Here!