Feeds

AOL prepares to slash staff

You've got notice

HP ProLiant Gen8: Integrated lifecycle automation

Time Warner’s struggling AOL business is to cut over a quarter of its 19,000 staff as part of its latest self-reinvention.

In another reverse on its traditional strategy, it will also stop cluttering up the world with trial AOL CD-ROMs.

The media giant and its online albatross announced this week that it will scale down its reliance on subscriptions, offer more services for free, and will look to make more revenues from ads.

AOL is aiming to save around $1bn - which should underwrite the fact it is shifting away from its reliance on subscriptions. However, this means many staff, including those who provide paid support to paying customers, and those responsible for producing and distributing the trial disks, will be in the firing line as it looks to make those savings. Other jobs will go as it spins off overseas operations. Its German and French ventures are already on the block.

In all, 5,000 people will be lopped from the AOL payroll. The cuts are expected to bite in late September or October.

The scrapping of the trial CD program is unlikely to bring tears to anyone’s eyes. In the US you can’t even go to the post office without being offered yet another trial CD.

The move could, of course, lead to further destabilisation of the world economy, as it will no doubt free up the oil needed to make the blasted things, while mail workers will be freed up to deliver previously less important mail such as checks, bills, etc. Still, a small price to pay. ®

The Power of One Infographic

More from The Register

next story
Google Nest, ARM, Samsung pull out Thread to strangle ZigBee
But there's a flaw in Google's IP-based IoT system
Orange spent weekend spamming customers with TXTs
Zero, not infinity, is the Magic Number customers want
Want to beat Verizon's slow Netflix? Get a VPN
Exec finds stream speed climbs when smuggled out
US freemium mobile network eyes up Europe
FreedomPop touts 'free' calls, texts and data
'Two-speed internet' storm turns FCC.gov into zero-speed website
Deadline for comments on net neutrality shake-up extended to Friday
GoTenna: How does this 'magic' work?
An ideal product if you believe the Earth is flat
NBN Co execs: No FTTN product until 2015
Faster? Not yet. Cheaper? No data
prev story

Whitepapers

Top three mobile application threats
Prevent sensitive data leakage over insecure channels or stolen mobile devices.
The Essential Guide to IT Transformation
ServiceNow discusses three IT transformations that can help CIO's automate IT services to transform IT and the enterprise.
Mobile application security vulnerability report
The alarming realities regarding the sheer number of applications vulnerable to attack, and the most common and easily addressable vulnerability errors.
How modern custom applications can spur business growth
Learn how to create, deploy and manage custom applications without consuming or expanding the need for scarce, expensive IT resources.
Consolidation: the foundation for IT and business transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.