Time Warner breaks AOL roots

Jeffrey L. Bewkes, who has been the executive director of Time Warner media corporation for more than a month, said last week that the company wanted to part with the business of its Time Warner Cable cable division and separate the provider services provided by by AOL, from its web component. Many experts regard the latter as a step towards leaving the market, in which AOL earned $ 164 billion in the 90s, for which in 2000 it actually bought a much larger Time Warner, before losing a record $ 99 billion of that time. - for the dotcom crash .

The AOL Internet provider, a company with almost 30 years of history, remains today a very profitable enterprise. However, the results of the past fiscal year have clearly shown that this situation will not last long. AOL's net profit declined by a third, and the number of subscribers, at its maximum reaching 30 million, in the fourth quarter of 2007 alone decreased by 740,000 thousand. At the same time, the company’s management has repeatedly stated its ambitious plans to create decent competition for market leaders. online advertising.

Time Warner Cable, in turn, after separation from its “elder brother”, will have more freedom in making decisions, which until then had been limited to its role as a “non-core asset” in a large corporation.

Byuks's statement immediately led to the desired effect: Time Warner's shares slightly increased, and investors, who had long expressed displeasure with the stagnation in the development of the company, slightly weakened their tie nodes.