• by April 29, 2004

Surprise.

Time Warner's America Online turned in a better than expected performance in the first quarter. The rate of subscriber defections has slowed a bit and AOL says it has more than 3 million subscribers to its broadband product. It's masterminding a new ad campaign for broadband at this moment. A review of the facts: AOL lost 237,000 subscribers in the first quarter. Ad revenue declined 5 percent, attributed to a loss of $31 million in intercompany revenue.

However, revenue from paid search chipped in some $27 million. And AOL's operating income climbed 21 percent to $489 million before depreciation and amortization. Nevertheless, that pesky Securities and Exchange Commission investigation hasn't been put to bed--yet--though a settlement looms, according to company insiders. I imagine it will come within weeks. Shares of Time Warner spiked 4 percent to $17.21 today in early trading on the New York Stock Exchange.

Google Game: We eagerly await Google's SEC filing today.

Rising Media Star Alert: You have until tomorrow, April 30, to nominate talented, hard-working up-and-comers for Media Magazine's Rising Media Star Awards.

Are you a rising media star? Do you know someone who is? We invite you to nominate yourselves, and those you manage. Click on the link to enter the process.