America Online: The 20 Hours for $20 Pricing Plan (B) Harvard Case Solution & Analysis

In July 1996, 800,000 AOL subscribers signed up for a new 20-month plan hour. About two-thirds of the 800 million customers making a new plan were medium and light users whose accounts were usually less than $ 20. Of those taking the first three months of the new plan, 70 percent were medium and light users. August 7, 1996, AOL has experienced 19-hour blackout. According to Steve Case ", the interrupt was caused by a random series of events that will likely never happen again." He continued: "We have a long way to go to make AOL as reliable as required utilities such as electricity and telephone ... But what we intend to do." Hide
by Mark Parry Channel: Darden School of Business 2 pages. Publication Date: November 28, 2000. Prod. #: UV4024-PDF-ENG

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