January 07, 2015
During the late days, a fusion between Verizon and AOL looked very likely. In fact, the biggest cell phone carrier from the United States of America is the one aiming to buy AOL, according rumors. For now, Verizon’s board denied heavily that they have any intention in this transaction, but information takes us in other places. So, let’s see and analyze a bit why a giant such as Verizon is interested in buying a company that is a bit behind from the point of view of many.
Verizon wants more online video?
At this moment, AOL still provides dial-up Internet services for two million of the inhabitants of the United States which makes it an old school brand. But Verizon isn’t interested in this, but most likely, according to rumors, to more online video extensions so AOL looks like the perfect tool to grow this market. Experts speculated that Verizon was planning a lateral move into online video to better compete with cable companies and on-demand services. A partnership or merger with AOL would be very good for the thought strategy, because it looks like Verizon may be interested in using AOL's technology to buy and sell advertising, particularly on a "future online-video product".
Don’t know how this story will end but I am quite sure that Verizon is up to something in their strategy of remaining the leading brand in cell phone industry from the U.S. while expanding its activity also in nearby domains. So, stay tuned and watch our website for more information about this possible merger between Verizon and AOL.