America Online 2010 Annual Report Download - page 8

Table of Contents
met, including that the Internet traffic has been assigned to us. We generate advertising revenues from AOL Properties through the sale of display
advertising and search and contextual advertising. We offer numerous types of display advertising, including text and banner advertising, mobile,
video and rich media advertising, sponsorship of content offerings, local and classified advertising and audience targeting opportunities.
We also generate revenues through our subscription access service. We view our subscription access service as a valuable distribution channel for
AOL Properties. Our access service subscribers are important users of AOL Properties and engaging both present and former access service
subscribers is an important component of our strategy. In addition, our subscription access service will remain an important source of revenue
and cash flow for us in the near term. We also generate revenues from subscriptions to other products and services.
Global consumers are increasingly accessing and using the Internet through devices other than personal computers, such as smartphones and
tablet computers. In addition, social networking is becoming a more popular form of communication for global consumers on the Internet. As a
result, we seek to ensure that our content, products and services are available on digital devices as well as social networks so that our consumers
can readily access and use our content, products and services.
• Third Party Network. We also generate advertising revenues through the sale of advertising on third-party websites, which we refer to as the
"Third Party Network." Our mission is to provide an open and transparent advertising system that is easy-to-use and offers our publishers and
advertisers unique and valuable insights. We seek to grow the number of publishers and advertisers utilizing the Third Party Network.
We market our offerings to advertisers on both AOL Properties and the Third Party Network under the brand "AOL Advertising." We market our
offerings to publishers on the Third Party Network under the brand "Advertising.com" and also market offerings as video advertisements distributed through
goviral and 5 Minutes Ltd.
AOL Properties
AOL Media Offerings
AOL Media offerings include original content produced through our large network of content creators, which includes professional journalists from
new and traditional media, freelance writers and bloggers, content we license from third parties and aggregations of user-generated content. Our content
offerings are made available to broad audiences through sites such as the AOL.com homepage, as well as to niche audiences on highly-targeted, branded
properties, such as Engadget, TechCrunch, PopEater, Moviefone, AOL Shopping, AOL Autos, AOL Travel, AOL Real Estate, MapQuest and StyleList.
Additionally, we seek to enter joint ventures and strategic partnerships with third parties with established brands in an effort to expand our content offerings.
To facilitate the intake, creation, management and publication of original content, we utilize publishing platforms and content management systems that are
designed to scale in a cost-effective manner in order to produce a large variety of relevant content for consumers. Our Seed.com platform allows writers and
photographers to submit original content for our professional editors to review and possibly publish on AOL Properties or on third party sites.
In 2010, we completed several acquisitions to increase the production and distribution of video on AOL Media properties. Our acquisition of
StudioNow, Inc. in the first quarter of 2010 provides us with a video content management system and network of professional videographers that has allowed
us to increase the amount of original video we create. Our acquisition of 5 Minutes Ltd. in the third quarter of 2010 provides us with additional video content
and a syndication platform for web-based videos that enhances our ability to distribute content.
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