AOL’s ad revenue falls

AOL’s global ad revenue was down by 6% year on year in Q3, with revenue dropping 17% to $1 billion (£626 million).

Parent company Time Warner said that the fall in revenue was down to a 26% decline in subscription revenue and the fall in ad revenue.

The fall in subscription revenue reflects a decrease in US AOL subscribers, following AOL’s decision to offer its e-mail and other products free of charge.

The decline in ad revenue was driven by decreases in display advertising on AOL’s sites and sales of ads on third-party internet sites, partially offset by an increase in paid-search advertising.

Following its sale of several of its ISP services around the world, AOL is focusing its strategy on advertising sales.

AOL: 01268 530919 www.aol.co.uk