Bloomberg News
Investors continue to like what's happening at AOL. While overall sales at the Time Warner unit fell 7.8 percent to $1.86 billion in the fourth quarter (year-over-year profit fell 10 percent), it was expected to. AOL continues to undergo the dramatic transformation that will eventually see it abandon the ISP business altogether, though the dial-up Web provider still has 13.2 million subscribers, losing 2 million during the fourth quarter. Analysts reiterated that these are positive steps forward. "Basically, it's like cutting a tumor," said one portfolio manager. The tactic is working. Ad revenue surged 49 percent in the quarter, …
Silicon.com
Silicon.com is calling on the world's hotels to do away with the "mini-bar"-like expense many tack on for Web access. The Internet is an absolutely crucial component for hundreds of thousands of business travelers, and it's proving to be a costly expense for many companies. According to Grant Shapps MP, vice chairman of the UK's Conservative Party, his country is the most notable offender. "To keep the UK competitive, it's vital that business services are available at competitive rates." Big businesses agree. Josh Claman, UK head of Dell, says Web access at every hotel should be "a given," …
USA Today
In a surprisingly progressive turn of events, the Federal Communications Commission could be on track to open up the cable TV and telecom industries. On the mobile phone side, FCC chairman Kevin Martin appears to be in favor of allowing cell phones to work with any wireless carrier in the same way a landline telephone works no matter what company you use. Such wireless handset neutrality would likely result in lower prices. On the cable side, the proposed change would unbundle the cable companies' software to allow anyone from TiVo to Google access to Comcast or Time Warner …
Business Week
Google crushed earnings again, but Wall Street wasn't impressed, as shares fell about 1 percent in after hours trading. One percent is no big deal, but the fact that the search leader could nearly triple its profit from a year ago, beat all expectations, and not spark a stock surge is evidence that investors are spoiled--a bad thing for Google. Two-and-a-half years after going public, Google is still a one-trick pony. This disregards the fact that the Web giant has gotten much better at generating revenue from search, its core business. Naturally, CEO Eric Schmidt piped on during the earnings …
The Washington Post
Super Bowl XLI between the Chicago Bears and the Indianapolis Colts will feature four ads created by (so-called) amateurs. The big game is the biggest ad showcase of the year, so why not follow up 2006, the year of You, according to Time Magazine, with ads created by us? And why not save a bundle of money? Advertisers are paying more than $2.6 million for 30-second spots, each of which could easily cost $1 million or more to create. If you incentivize consumers to create something for your brand by say, granting the winner $10,000 and a free …
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