Is America Online's subscriber base about to peak? Online ads are down, accounting is in question; subscriber growth rates declining rapidly toward the negative; forced to offer deep discounts to manufacture growth; AOL admits "broadband is [even] less profitable than dial-up". EarthLink CEO: "Even if [AOL is] wildly successful [in the broadband market], they will never be able to replicate their dominance in dial-up." On AOL's strategy: "It's profitless prosperity." MSN is skeptical: "My question is how long can they milk their base. There is only so long people will pay $14.95 a month to keep their old e-mail address." |