By Robert Luhn
(April 17, 2003)
Can AOL become the king of content?
Is AOL better with broadband? That's what the marketers at the Big Blue Triangle would like you to believe. Although there's been much ado lately about AOL's broadband content rollout (much of it's been available for months and then some), the company suggests that users buy their broadband access elsewhere, then come to AOL (for a limited-time price of $9.95 per month, later $14.95) for its killer multimedia content and "effortless" online communications tools.
Moving from its ISP roots to a content model--becoming, in effect, the HBO of the Internet--is a big gamble for AOL. AOL has offered music videos, jukeboxes, video news snippets, and such for a while. But is there enough cool stuff--and enough exclusive cool stuff on the network--to convince broadband users to cough up the extra bucks? AOL thinks so. In its 13-page press release, the company claims that "a range of new content agreements and cornerstone programming initiatives [will provide] exclusive, on-demand, and compelling online programming...that would cost more than $50 per month if purchased separately." Adds Lisa Hook, AOL president for broadband, "Nobody can match what AOL offers broadband consumers." Me? I think AOL overstates: it has a lot of competition, some of it offering the same or similar stuff. But in certain realms, notably music, AOL offers up a package that mainstream users will dig.
Content vs. content
Analysts in the know view such claims with a dash of skepticism. "There's a lot of great free stuff on the Web, from CNET to the New York Times," says David Card, VP and research director at Jupiter Research. AOL also has competitors in the content-aggregation business, from MSN to RealOne.
Nor is there any killer app, says Card. "Magazine exclusives or e-mail services--nobody knows what's going to stick." What about the lure of movies? "Video online is a crappy experience," says Card. "Who's going to watch a jerky video stream on their 15-inch monitor? Online movies are not a big part of AOL's offering."
So far, I'd have to agree. Although there's a ton of flicks sitting in the Warner Bros. vaults, AOL's only announced online movie deal is with MovieFlix.com, which boasts such classic titles as Sex, Chocolate & Zombie Republicans and Colonel Effingham's Raid. From what I've seen, AOL Broadband is probably best at giving you a first taste of that hot single or trailer, or short, edited video news or featurettes.
Today, for example, I found excerpts from Madonna's Drowned World tour, 18 minutes with James Taylor in the studio, Kelly Osbourne's exclusive (eek!) music video, and a recap of last week's 24. Another stroll through AOL's current offerings turns up half a dozen jukeboxes (from new tunes to interviews), live news feeds from ABC and news clips from CNN, and gripping content from People and Entertainment Weekly. And like all online video, the quality ranges from god-awful to fair. Watching a three-minute interview with Tiger Woods is bearable, but a herky-jerky, intermittently pixelated, 90-minute movie? Probably not.
AOL vs. the Web
Check out the competition, though, and AOL's market advantage shrinks. For $9.95 per month, fellow content aggregator RealOne supplies a ton of sports programming, from NASCAR to NBA; news feeds from ABC and CNN; flicks from iFilm; and exclusives, such as Pearl Jam in concert, that are similar to AOL's "first looks."
When it comes to sports, AOL is a furlong behind the competition. Powered by Sports Illustrated (SI.com) and CBS Sportsline.com, AOL's Sports channel is a somewhat shallow mix of stats, headlines, news, and a paltry collection of videos (which require a $5 per month subscription to view). Go to SI.com, and $9.95 per month buys you a lot more content and video. For just a few bucks more, baseball fans will get MLB, which buries you in data and a half-dozen video offerings--including live games.
Music is probably AOL's strongest broadband offering. Go to keyword: Songs & videos, and you can choose to download a handful of current tunes from the likes of Third Eye Blind (good for only 30 days, however), listen to a handful of brand-new cuts and albums, watch some new music videos, and more. There's overlap between the various music channels, but it's a pretty solid collection. Still, music mavens will probably turn to the heftier collections offered by MusicMatch MX ($2.99 to $4.99 per month for access to 500,000 tracks), or Listen's Rhapsody service ($9.95 per month for 312,000 tracks and unlimited CD burning).
In short, AOL's claims of being broadband content king don't quite ring true--yet. As always, what AOL brings to the game is packaging and integration. It may not have the cheapest or the most comprehensive content, but there's a lot in one place, and it's fairly easy to get to. Whether this strategy will keep AOL on top is anyone's guess.
Is AOL better with broadband? That's what the marketers at the Big Blue Triangle would like you to believe. Although there's been much ado lately about AOL's broadband content rollout (much of it's been available for months and then some), the company suggests that users buy their broadband access elsewhere, then come to AOL (for a limited-time price of $9.95 per month, later $14.95) for its killer multimedia content and "effortless" online communications tools.
Moving from its ISP roots to a content model--becoming, in effect, the HBO of the Internet--is a big gamble for AOL. AOL has offered music videos, jukeboxes, video news snippets, and such for a while. But is there enough cool stuff--and enough exclusive cool stuff on the network--to convince broadband users to cough up the extra bucks? AOL thinks so. In its 13-page press release, the company claims that "a range of new content agreements and cornerstone programming initiatives [will provide] exclusive, on-demand, and compelling online programming...that would cost more than $50 per month if purchased separately." Adds Lisa Hook, AOL president for broadband, "Nobody can match what AOL offers broadband consumers." Me? I think AOL overstates: it has a lot of competition, some of it offering the same or similar stuff. But in certain realms, notably music, AOL offers up a package that mainstream users will dig.
Content vs. content
Analysts in the know view such claims with a dash of skepticism. "There's a lot of great free stuff on the Web, from CNET to the New York Times," says David Card, VP and research director at Jupiter Research. AOL also has competitors in the content-aggregation business, from MSN to RealOne.
Nor is there any killer app, says Card. "Magazine exclusives or e-mail services--nobody knows what's going to stick." What about the lure of movies? "Video online is a crappy experience," says Card. "Who's going to watch a jerky video stream on their 15-inch monitor? Online movies are not a big part of AOL's offering."
So far, I'd have to agree. Although there's a ton of flicks sitting in the Warner Bros. vaults, AOL's only announced online movie deal is with MovieFlix.com, which boasts such classic titles as Sex, Chocolate & Zombie Republicans and Colonel Effingham's Raid. From what I've seen, AOL Broadband is probably best at giving you a first taste of that hot single or trailer, or short, edited video news or featurettes.
Today, for example, I found excerpts from Madonna's Drowned World tour, 18 minutes with James Taylor in the studio, Kelly Osbourne's exclusive (eek!) music video, and a recap of last week's 24. Another stroll through AOL's current offerings turns up half a dozen jukeboxes (from new tunes to interviews), live news feeds from ABC and news clips from CNN, and gripping content from People and Entertainment Weekly. And like all online video, the quality ranges from god-awful to fair. Watching a three-minute interview with Tiger Woods is bearable, but a herky-jerky, intermittently pixelated, 90-minute movie? Probably not.
AOL vs. the Web
Check out the competition, though, and AOL's market advantage shrinks. For $9.95 per month, fellow content aggregator RealOne supplies a ton of sports programming, from NASCAR to NBA; news feeds from ABC and CNN; flicks from iFilm; and exclusives, such as Pearl Jam in concert, that are similar to AOL's "first looks."
When it comes to sports, AOL is a furlong behind the competition. Powered by Sports Illustrated (SI.com) and CBS Sportsline.com, AOL's Sports channel is a somewhat shallow mix of stats, headlines, news, and a paltry collection of videos (which require a $5 per month subscription to view). Go to SI.com, and $9.95 per month buys you a lot more content and video. For just a few bucks more, baseball fans will get MLB, which buries you in data and a half-dozen video offerings--including live games.
Music is probably AOL's strongest broadband offering. Go to keyword: Songs & videos, and you can choose to download a handful of current tunes from the likes of Third Eye Blind (good for only 30 days, however), listen to a handful of brand-new cuts and albums, watch some new music videos, and more. There's overlap between the various music channels, but it's a pretty solid collection. Still, music mavens will probably turn to the heftier collections offered by MusicMatch MX ($2.99 to $4.99 per month for access to 500,000 tracks), or Listen's Rhapsody service ($9.95 per month for 312,000 tracks and unlimited CD burning).
In short, AOL's claims of being broadband content king don't quite ring true--yet. As always, what AOL brings to the game is packaging and integration. It may not have the cheapest or the most comprehensive content, but there's a lot in one place, and it's fairly easy to get to. Whether this strategy will keep AOL on top is anyone's guess.
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AOL Q&A: Dialing for dropouts |
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I have an unlimited dial-up account with AOL. But after I'm online 10 or 20 minutes, AOL asks me if I want to stay online. If I'm away from my desk (and can't respond), it boots me off. What gives? Is AOL's definition of unlimited different from mine?
--Bill in Berkeley
Dear Bill:
Chances are you've been online--and idle--longer than you think. In a few areas of the United States, AOL will determine that you've been inactive, ask if you want to stay online, and if you don't reply, log you off. AOL's aim, of course, is to keep its lines open for users who are actually doing something. But you may also be getting booted off due to line quality or other issues. Some suggestions from AOL: clear out your browser caches, remove any unnecessary apps running in the background, and go to keyword: Access and update your dial-up numbers. (Pick the ones at the top of the list for your area code.)
Using an older version of AOL? Upgrade to AOL 8.0; it's the only one that has an autoreconnect feature. Still getting booted? Several AOL mavens suggest you open a private chat room. Select People > Start Your Own Chat > Private Chat, name the chat, then minimize the window. Another trick: in your Buddy List window, turn on your IM Away message. This should keep you online, but you can't receive IMs. Still another: use a "timer killer", such as 1Kickthis 2.0. Warning: These utilities violate AOL's terms, so use at your own risk! The ultimate fix: upgrade to broadband Internet access, which isn't subject to AOL's logoff dictum.
Robert Luhn is a former executive editor for CNET.com and a frequent contributor to CNET Reviews. He's embedded in the Screaming Vegans airborne division currently patrolling Berkeley. Have a question for him? We'll pass it on!
