Thursday, August 07, 2014

AOL still has 2.3 million dialup subscribers—and they’re very profitable - Quartz

A "better living through lowered expectations" case study

"With most expenses long paid, it’s also creating an impressive amount of profit. AOL’s “membership” group—which includes the dialup access business—generated about one-third of the company’s $607 million in sales last quarter, but an oversized amount of its operating profit: $143 million of “adjusted OIBDA” (operating profit from its core business, before accounting adjustments), compared to $122 million total for the company.
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Expect the subscriber base to continue to shrink, as wireless broadband continues to build. But much like Yahoo’s search business, for now AOL can enjoy its vintage cash machine."
AOL still has 2.3 million dialup subscribers—and they’re very profitable - Quartz

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