NEW YORK America Online is going on the offensive with a new plan to retain customers and expand its business on the Web a strategy it has tried before with little success instead of beefing up its proprietary service.
CNET.Com reported AOL’s CEO Jonathan Miller will present a turnaround plan to the Time Warner board of directors on Thursday. Sources close to AOL said Miller plans to offer new cost-cutting measures, while sketching out a blueprint aimed at tapping the resurgent online advertising market.
Central to this strategy is transforming the company’s AOL.com Web site to attract more visitors and sell more ads on the open Internet a sharp break from its past focus on beefing up its own its own proprietary service.
“It shows the fickleness of the Internet market where AOL, which was so dominant three or four years ago, may have to reinvent its business,” said Mark May, an analyst at Kaufman Bros.
