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View Full Version : AOL hanging up on dial-up customers?



Jared Moya
February 28th, 2006, 12:22 PM
AOL recently informed customers that beginning next month, AOL will charge dial-up subscribers $25.90 per month. The price won't be that much of a shock, since it's $2 more than those dial-up customers are paying now. More important, it's equal to what high-speed DSL (digital subscriber line) or cable subscribers pay to get AOL services such as e-mail and customer support along with high-speed Internet access.

The price jump shows just how important it is to the Internet giant to get more of its customers onto broadband. It has led to an obvious question for longtime AOL customers: Who wouldn't move to broadband when it costs the same price?

"Given their overall strategy in the Web portal business, (AOL) wants fewer, if any, dial-up customers," said Allen Weiner, an analyst at Gartner. "I think it is part of a strategy to basically shake out of its base the people who are likely high-speed subscribers."

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