In 2001, at the height of the dot com bubble, AOL acquired Time Warner for $164 billion. The giant of content and distribution was diluted (and deluded) by the king of narrowband, just as the broadband Internet was taking hold. We all know how that story ended.
Now, fifteen years later, Verizon intends to purchase AOL for $4.4 billion in cash. On the surface, this deal may seem expensive, if not retro. But viewed through the lens of today’s media landscape, it is strategic, and perhaps even prescient.