You have to understand a few things about AOL to realize why it's not only a good service, but a great investment.
1. It's simple. Do they have problems? Sure, you get busy signals, etc. But, by and large, most services do (even cable - which I have - goes out 1 time per month). But simplicity is key. It's what made MSFT successful. I'm not a MSFT fan, either. But I respect success.
2. It isn't a tech stock, it's a media stock. Keep an eye on ad revenues. AOL has ad revenue growth that is the envy of every major advertising outlet.
3. They are poised to be a predominant player in every major ease-of-use tool to come out in the near future. AOL Anywhere is Case's name for it, and it's working. I like what I read about his vision.
As I said, I don't use the service, and I'm not a fan of it, but I understand why it's popular (my dad LOVES it!). That's why I invested. That's why I believe it will be bigger than MSFT. In fact, last Friday's ruling benefits AOL more than anyone else. |
