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story category AOL's 'Incredible Deal'
'Categorically deny' their dial-up is expensive
(old news - 10:56AM Thursday Aug 12 2004)
tags: prices · business
Facing sliding subscriber numbers and criticism for not pushing broadband quickly enough, AOL is targeting the 27% of households not yet on-line. To do so they're offering a $300 package that includes a PC, printer, and monitor, as well as twelve months of dial-up at $23.90 a month (when totaled costs almost as much as the hardware). Somehow AOL can still convince people to pay $24 for dial-up, when some broadband providers offer service for only a few dollars more, and many dial-up providers offer service for $14 less. "I categorically deny the service is expensive," says Senior VP Kenn Turner in an interview with Bloomberg News. "This is an incredible deal."

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Forums » AOL's 'Incredible Deal'
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nydwarf

join:2001-08-24
St Catharines, ON

Incredible!

It is incredible as in I don't beleive it's a deal.

scooter2479
Mediacom Customer Service

join:2004-04-30
Springfield, MO

Re: Incredible!

Can we all say e-machines..... lol
Plldwnyrpnts

join:2003-04-19
Chicago, IL
$600 for a pc with dialup access for a year is not even close to a deal. It's as standard/average/thesameolechit to me as buying a pc outright and getting cheapo dialup service.

NEXT!!!
williamhines

join:2004-01-13
united state
AOL is stupid i hate that company chargin dsl prices for dial up..i dropped aol 5 years ago and never looked back. your right about them canceling your account before you close...lol aol is retarded.. i hope it fails miserably..

ghostpainter
I Write for the Apocalypse
Premium,MVM
join:2002-05-25
Rancho Cucamonga, CA
clubs:

said by nydwarf See Profile:
It is incredible as in I don't beleive it's a deal.

Damn, no more coffee coasters....;)
--
I paint the night skies with eerie dreams and shade the day in darkness.
CHNYC54

join:2003-07-31
Flushing, NY

I HAVE TWO WORDS FOR AOL THEY SUCK
i386
Unix God
Premium
join:2004-07-10
Tucson, AZ
I'm going to write to this SVP and tell him how incredible his deal is.
raythompsontn

join:2001-01-11
Oliver Springs, TN

Expensive Is Relative

Sure the SVP thinks it's not expensive. $23.00 a month is nothing for a person that makes $1,000,000.00 a year. Just like he thinks gas is not expensive as he has never had to fill the tank of his limo.
Shuddertrix

join:2004-07-08
Botkins, OH
clubs:


1 edit

Re: Expensive Is Relative

Well put!
I can see them give out the (probably Wintergreen or emachines AMD Duron 1.3ghz - 1.6ghz) to people, but this won't last long because his limo might get in an accident or something

(and ironically, by one of the computers they gave out)

Jammy
be'suvwl
Premium
join:2000-11-03
San Diego, CA
clubs:
·Cox HSI

To me expensive is relative to my priorities and what I consider quality! AOL fits none of these IMHO. I pay $29.95 a month for 4000/512broadband service and my content is what I choose and I can go where I want (the port 25 SMTP issue does not affect me).

I have a good friend who still uses AOL (dialup) for himself and his family, and this guy is not a senior citizen, is not a member of a minority group, and he is an accomplished web designer and graphics artist. He is aware of DSL and cable internet connections and can afford them.

Go figure . . .

Jammy
--
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I hear and I forget. I see and I remember. I do and I understand. - Confucious (551 BC - 479 BC)

The Flash
You don't win friends with salad
Premium
join:2002-10-17
Toronto, ON
·TekSavvy Solutions..
·Execulink

Re: Expensive Is Relative

said by Jammy See Profile:


To me expensive is relative to my priorities and what I consider quality! AOL fits none of these IMHO. I pay $29.95 a month for 4000/512broadband service and my content is what I choose and I can go where I want (the port 25 SMTP issue does not affect me).

I have a good friend who still uses AOL (dialup) for himself and his family, and this guy is not a senior citizen, is not a member of a minority group, and he is an accomplished web designer and graphics artist. He is aware of DSL and cable internet connections and can afford them.

Go figure . . .

Jammy

I would imagine he needs broandband for work.

Jammy
be'suvwl
Premium
join:2000-11-03
San Diego, CA
clubs:
·Cox HSI

Re: Expensive Is Relative

said by The Flash See Profile:

I would imagine he needs broandband for work.

His place of work has a T3 yet at home he still uses a dialup.

Jammy

Engineer88
VIP
join:2000-12-01
Smithtown, NY

Re: Expensive Is Relative

That explains it - "Sorry, but I don't have a decent connection at home. I'll have to get back on it tomorrow".

DSL4Brains
Premium
join:2003-08-26
Portland, OR

said by Jammy See Profile:


I have a good friend who still uses AOL (dialup) for himself and his family, and this guy is not a senior citizen, is not a member of a minority group, and he is an accomplished web designer and graphics artist. He is aware of DSL and cable internet connections and can afford them.

Go figure . . .

Jammy

It's probably because it's easy to use for his family. A trained monkey could use AOL...big icons, no guessing, etc.

technick
Premium
join:2000-12-16
Loganville, GA

It never changes

AOL is a waste of time, they limit free speech, and they are kind of like the internet with training wheels. AOL is the worst provider out there if you want real Internet Provider, look no farther then a local ISP. AOL was cooler when you could get tons of pirated stuff from the private chat rooms, but if you decide you want to flame someone out or even say the word “tampax” in a chat room, you can have your account canceled. I hope AOL goes down in a big burning crash.
--
"Our greatest glory consists not in never falling, but in rising everytime we fall." - Confucius - - - - - - - - - - - Streamfire.net- - AIM - CoNFuCiUsNiCk

Mactron
Happy 4th
Premium
join:2001-12-16
CM94sv

Re: It never changes

said by technick See Profile:
but if you decide you want to flame someone out or even say the word “tampax” in a chat room, you can have your account canceled.
So that's how you cancel AOL !?? They don't make easy to cancel from my understanding. I think you found the key to my sisters freedom. Thanks.
--
Facts do not cease to exist because they are ignored. Aldous Huxley

technick
Premium
join:2000-12-16
Loganville, GA

Re: It never changes

I found out first hand from a friend that did the same thing. I created a screen name "welfarekneegrows", and I didn't even need to bother to call them to cancel, my account was shut off, and they never charged my card again. I've had friends get TOS (Terms Of Service) violations for saying tampax in a chat room, but really the sky is the limit. If you really don't care about your aol account just drop by a public chat room and go off on the many losers that go in there to try to "hook" up on AOL. I used to frequent the Atlanta chatroom alot, and make fun of the people coming online to find love, and to hook up with girls on AOL. So like I said the sky is the limit. One of my other friends has been through 30+ accounts with aol, she always signs back up. She speaks her mind to everyone, and that offends most.
--
"Our greatest glory consists not in never falling, but in rising everytime we fall." - Confucius - - - - - - - - - - - Streamfire.net- - AIM - CoNFuCiUsNiCk

Voyager2K2

join:2001-10-04
Wayne, PA

Two Words

People PC.

Computer give-aways didn't work for them either.
Now People PC is down in the $9.95 dial-up trenches with the rest of them.

SubTexel
Keyboard Commando

join:2003-11-20
Hampton, VA

Re: Two Words

Im surprised anyone remembered what People PC originally was. The computer they were giving away wasnt that bad though, and I assume anyone who got it formatted their HDs to get rid of the damn ads.

Now does anyone remember freedsl.com? Ahh, I miss the .Com days....

Mentiroso

join:2003-10-15
Albany, GA

!

Comments like this are why people with a working brain hate AOL.
i386
Unix God
Premium
join:2004-07-10
Tucson, AZ

Comcast & AOL

Heheh...

I see Comcast is competing with AOL now - and I wish them luck.

- Eddie

technet1

@mi.cha

Re: Comcast & AOL

Simpily put AOL is a has been.

Sid
Premium
join:2002-11-29
Santa Maria, CA

said by i386 See Profile:
Heheh...

I see Comcast is competing with AOL now - and I wish them luck.

- Eddie

What do you mean? How are they competing?
--
WinXP,PC-Cillin IS, SpySweeper,Opera, Thebat & M2 for Email.

Count Hogula3
John Forged Kerry
Premium
join:2004-07-10
Corona, CA

Re: Comcast & AOL

As far as I can tell it's a race to see who can rip of their customers the most? Looks to me like Comcast is in the lead.
--
»www.scaryjohnkerry.com »media1.streamtoyou.com/rnc/080304v1.wmv
i386
Unix God
Premium
join:2004-07-10
Tucson, AZ

Re: Comcast & AOL

Yeah,

"Attention AOL subscribers!"

"Comcast High-Speed Internet is faster than AOL"

Something like that.

Comcast > AOL. To fix that statement actually, everything is better than AOL. I hope AOL fails and gets more bad reviews on BBR (other than that "it is #1" review).
Flizesh
Premium
join:2003-08-16
Staten Island, NY
clubs:

Only reason..

only reason aol was so big in the first place was cause of their CD spam

and yes, it is a bitch to cancel they will pretty much kill themselves before letting you cancel.
slpaige

join:2002-04-26
Bentonville, AR

Re: Only reason..

hah, yeah, I did this free thing so i could get another free thing, some free ipod thingy. So i cancel 2 days later and the guy on the phone is a complete idiot. I finally tell him about 5 things he can do with himself and to shut the hell up (cleaning it up for the boards) and listen to the words comming out of my mouth.

I called up and was very polite for the first few minutes until I figured out what he was trying to do. I started getting louder and more verbal in saying I wanted the service canceled. I guess they are trained to to recognize cancel as "keep it".

So finally i told him the next words i want to hear come out of your mouth are "yes sir, i'll be glad to cancel your service". Before that i had asked to talk to a supervisor (with no luck). I got very vulgar on the phone with him because the idiot would not shut his hole up. But i did get it canceled. After i told him to go f himself. He was all studdering and scared sounding.

obeythelaw
Premium
join:2003-04-16
Bayonne, NJ
·Cingular Wireless
·Optimum Voice
·Cablevision
·Optimum Online

AOL is a waste of Internet Space

There is no doubt AOL is a bad deal. I may be wrong, but I think many parts of the country can get some form of broadband whether it is DSL or Cable or even Satellite. Obvioulsy they vary in terms of price.
I really don't see how people can continue to use AOL. I know of even "seasoned" Internet users still using this AOL crap. Overall, I don't think broadband is much more expensive. I think people fail to realize that people who have AOL usually have a separate phone line just for AOL so that it doesn't tie up the line. So they pay $24 bucks a month for AOL plus another like $10-$15 for another line in their house for the "Internet." AOL is sucking people dry. People should start to wake up and see that there are other alternatives out there that aren't much more expensive. But if you like torture then I guess AOL is good for you.

spewak
Kiss It, Kiss It Real Good
Premium
join:2001-08-07
Elk Grove, CA
·SureWest Internet
·FrontierNet Intern..

Yeah right!!!

"To profit from its offer, America Online will need to persuade customers who buy the PCs to keep their subscriptions beyond the first year, Jupiter's Laszlo said."


--
Spewak!Let's get real, real, gone!

SquareSlinky
Premium
join:2004-05-25
Tampa, FL
·Verizon FIOS
·ViaTalk

AOHELL

I never had a AOHELL account as I don't like what I view to be censored. If I want news, chat, or anything else, there are other places to get it. AOL has one thing left, their IM program. They do have people hooked, but they don't earn any money from it and the competitors are making waves for them.

spie34
Hmm
Premium
join:2004-01-06
Boise, ID

AOL? A deal?

I don't think that it is a deal at all. AOL is not user friendly. Their email system sucks. Their web browser sucks. Plus it is way more expensive then anything else there is. And on top of that I wonder what kind of computer you can get for 300 dollars? Probably a POS
wuy3

join:2004-08-04
North Haven, CT

Thats True

ya I think the days of AIM being free are gonna be limited... time to start converting to trillian or something

nixen
Rockin' the Boxen
Premium
join:2002-10-04
Alexandria, VA
·Cox HSI
·Speakeasy

Re: Thats True

said by wuy3 See Profile:
ya I think the days of AIM being free are gonna be limited... time to start converting to trillian or something

And that would save you anything, how? You'd ostensibly be paying for the AIM service (access to the AIM networks), not for the client.

-tom
--
"There are 10 types of people in the world... those who understand binary and those who don't."
"That's only 2 types of people, moron"

drjim
Premium,MVM
join:2000-06-13
Torrance, CA
clubs:

Incredible Deal???

Well, now we know who Bagdad Bob works for.
IT'S NOT EXPENSIVE! NEVER, I TELL YOU!
--
One man's Magic is another man's Engineering.

amenite
The Soylent - It's People
Premium
join:2002-11-21
Ridgewood, NJ
clubs:
·Verizon Online DSL

Re: Incredible Deal???

said by drjim See Profile:
Well, now we know who Bagdad Bob works for.
IT'S NOT EXPENSIVE! NEVER, I TELL YOU!

All your modems are belong to us!
--
Time is an abstract concept invented by carbon based life forms to monitor their constant decay.-Thunderclese

CurtesyFlush
Bababooey, fafafooey, tatatoothy.
Premium
join:2002-08-23
Fontana, CA

Mooooooooooooooooooo

There's a hell of a lot of people in North America who can't exist unless someone's telling them what to do and how to do it. AOL's sub base reflects that scary trend.
There's also a sense of safety in the pack. GD cattle.
--
"There's not a damn Indian alive who can outflank me nor outfight any Troop of the 7th US Cavalry." Gen G.A. Custer.

Nightshade
sic semper tyrannis
Premium
join:2002-05-26
Salem, OR

Re: Mooooooooooooooooooo

Well it is about time to take these GD cattle out to slaughter and AOL with them as well.
--
Never Underestimate the Power of Human Stupidy

npln
Us Army

join:2000-07-17
San Francisco, CA

Hell NO

The ``AOL Optimized PC'' will sell for $299.99 and include an Intel Corp. Celeron chip, Microsoft Corp. software, a Lexmark Corp. printer, speakers, a 56K modem, a monitor, keyboard and mouse. Customers are required to subscribe to America Online's dial-up Internet service for $23.90 a month, or $286.80 a year.

In a years time they will make back the cost of the PC. I wonder what the early termination fee would be. probably the $300 for the PC. PLus the headaches when trying to cancel!!!!!!!!!! Being a former AOL customer it took me 4 months.
--
The Future is uncertain but the END is always near! Jim Morrison

Jason Levine
Premium
join:2001-07-13
Albany, NY

AOL Inertia

Right now about the only thing AOL has going for it is inertia. People who have used AOL for years (like my in-laws) don't want to go off of it and try another ISP. But inertia will only get you so far, especially when more attractive offerings siphon off your users.

As for the computer "deal", the article states that HP sells a similar package for $450. Add Internet access through Earthlink's PeoplePC for a year at $10 a month (price from the article also), and you'd pay $570. This is $12 less than AOL's "incredible deal".
--
-Jason Levine
http://www.jasons-toolbox.com/
http://www.PCQandA.com/
http://www.urateit.com/

Chizep
Premium
join:2002-04-07
Concord, NC

Re: AOL Inertia

said by Jason Levine See Profile:

As for the computer "deal", the article states that HP sells a similar package for $450. Add Internet access through Earthlink's PeoplePC for a year at $10 a month (price from the article also), and you'd pay $570. This is $12 less than AOL's "incredible deal".

ELNK and PeoplePC are affiliated?

Jason Levine
Premium
join:2001-07-13
Albany, NY

Re: AOL Inertia

Actually, I was just copying and pasting some of the text from the article and figured that I just never heard of Earthlink acquiring PeoplePC. Now that I'm double-checking it, they don't seem to be affiliated.

npln
Us Army

join:2000-07-17
San Francisco, CA

1997

I left AOL in 1997 AND NEVER LOOKED BACK

ruscorp
I Never Stop Posting For You
Premium
join:2002-08-29
Staten Island, NY
clubs:

Re: 1997

I left in 1994 and did the same.

There's to you!

SubTexel
Keyboard Commando

join:2003-11-20
Hampton, VA

Re: 1997

Last time I used AOL was in 1993 or so, and even then it sucked ass. Dropped it after the free 10 hours or whatever it was and never looked back.

mrchris
We don't miss you Bush
Premium
join:2002-10-01
North Babylon, NY
I left in 1999

kraughl

join:2002-08-18
Woodburn, OR
clubs:

This is crazy.....

My dad has DSL through local telco. He still uses AOL's Bring your own access package. So let's see that is $39.99 mo for dsl plus $9.95 for BYOA. $50 bucks to have faster AOL. I don't understand. I have tried for years to get him to move away from AOL. My uncle same problem. He has Comcast HSI and AOL BYOA. They just won't give it up. Once AOL has a grip they never let go. It is like crack for it's users. Flashy pages and stuff. Me just DSL with local ISP. I agree with most I don't like things filtered. I like to surf where I want when I want.

Nam Vet
Premium
join:2001-12-03
Allentown, PA

Re: This is crazy.....

Click for full size
no Praises!
Why would anyone with a bain cell use AOHELL
It takes an act of congress to cancel and untill you do you will be riped off!

»www.planetfeedback.com/sharedLet···,00.html
--
There's No Place Like 127. 0. 0. 1
xirian
Premium
join:2003-01-26
Beacon, NY

yeah right

AOL has to be the crappiest thing out there. All they do is add bloat to their browser. The only reason they still have customers is because people dont want to loose what they are used to. My family pays for aol along with cable internet. I use the cable only, they all insist on using the aol browser and then screaming at me if something doesnt work. Die aol, because of you existing I have to have MORE work. not to mention my parents thinking they would drop FAST INTERNET before dropping the crappiest isp ever. I dont know why anyone would drop 10/1mbit web for 56k. But hey, what do you expect from someone who sees "YOU HAVE A VIRUS UNPLUG YOUR COMPUTER FROM THE LAN IMMEDIATELY AND RUN A VIRUS SCAN. [OK] [DELETE] [CANCEL] [DETAILS]", clicks ok, and ignores it every time it pops up :\.
--
Pier-44 IRC Net
TercelChick

join:2002-08-13

Aol Will Make Some Money

If they are using a short term instrument, like a bond or E&S policy type dealie to finance the outlay. Basically, AOL can calculate how many of these 300.00 deals they want to provide for, say like 1,000,000 or so, multiply that times the difference in the price of the deal (300.00) from its real cost (in bulk prolly about 200.00), and get an 1,000,000,000 cash infusion for about 10-20 mill.

They pay upfront for the security with money accounted for as a one time charge to earnings (absorbed by parent company), then recoup this cash in the form of the monthly service fees. Customers who terminate before the contract term will likely get a early termination fee. This is the part where AOL make the most cash.

The customer will either 1) pay the termination charge (unlikely) or 2) not (likely). Even if the customer does not pay, AOL will get a nice lump sum chunk, as the defaulted fees will go to a collection agency, which will pay AOL say 60% of the original amount in return for assuming the debt.

This is how Cingular and other wireless companies make money from "free phone with 2 yr agreement" promos. I had a manager at Cingular tell me the company actually makes more money if you terminate and default than they do if you stay within your minutes, and maintain the service.

gooner4life
Oo 2 Be A Gooner

join:2002-08-04
london
clubs:

Re: Aol Will Make Some Money

I never was with AOL I first started when I was 12 with those rip off merchants Compuserve (same company now arent they?) an entire 11 years ago scary to think back.
--
Join Team discovery and help rid the world of cancer!
i386
Unix God
Premium
join:2004-07-10
Tucson, AZ

Re: Aol Will Make Some Money

I'm also surprised of this on Gateway's computers:

[code]Six months of America Online dial-up[/code]

It's like... NO WAY! Just ask Gateway to not do it on all of your computers.

AOL SHOULD FAIL!
Forums » AOL's 'Incredible Deal'page: 1 · 2


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