NEWS
February 02, 2005
AOL/TW Broadband & Wireless Super Bowl

Time Warner, Inc. announced that it will now sell a broadband service that combines its Road Runner high-speed service with America Online Inc.'s features. AOL also announced that it has partnered with Motorola and the NFL to launch a mobile wireless campaign for the upcoming 2005 Super Bowl XXXIX.

The combined Time Warner/AOL broadband service is priced at $30 per month, which is cheaper than the previous TW offering of $55 a month.

Analysts predict that the new service will augment the companies' market share as well as broadband penetration. They also feel that this offering should have been made several years ago when the two companies merged.

"This service is something AOL and Time Warner has been meaning to do for a while. AOL has been ramping up more broadband-heavy content so this is a step in the right direction for them. In 1999 broadband penetration in U.S. homes were only 5.7 percent. In November 2004, it's 55 percent since the recent halfway point was crossed over in September 2004. Broadband users tend to be more affluent so this AOL offering is good for advertisers looking to better target this population," says Kaizad Gotla, Internet Analyst, Nielsen//NetRatings.

In the mobile area, AOL, NFL and Motorola have partnered and will provide football fans and mobile users with the first "wireless Super Bowl" this year. AOL users and non-AOL users can vote for most valuable player and best Super Bowl commercial as well as receive live scores and statistics.

The mobile marketing campaign is available to subscribers of Motorola as well as Cingular, AT&T Wireless, Verizon Wireless and T-Mobile. A charge of $0.50 will appear on the user's bill.

Additional resources:

The Mainstreaming of Online Life