Q. How will AOL Time Warner take advantage of opportunities in the market?
A. The Internet is becoming a necessity for mass market consumers, and
Internet usage is continuing to increase. America Online's members are now
spending 65 minutes as day online, versus 20 minutes a day three years ago.
And industry metrics show that today there are over 600 million IMs, versus
37 million IMs three years ago. This tremendous growth in Internet use
will serve as an enabler for the creation of major line extensions and the
development of whole new businesses.
Convenience is a key component in reaching mass market consumers, as mass
market consumers tend to seek convenience in their Internet experience.
AOL Time Warner will have an unmatched ability to provide convenience
through a full range of interactive services delivered across current and
As Internet usage increases, branded content will become more important and
brands will win the battle for consumer attention.
The established and habitual relationships that both America Online and
Time Warner have developed with their consumers will provide the building
blocks that are critical for mass marketing. In addition, these
relationships will provide a powerful base for AOL Time Warner to use
America Online's and Time Warner's existing businesses to create
incremental growth and to launch whole new businesses.
Q. What are some of the reasons you expect the combination of America Online
and Time Warner to be successful?