AOL acquires even more of IM market with Userplane


userplane and aolAs I mentioned in my post about Blogher, AIM is where it's at for the sorts of people who use instant messenger programs to communicate. Not only do teenagers love the product, with all the spiraling viral effects that has for AOL, but I use it for work -- and many other businesses are becoming IM-savvy.

AIM, however, may have come to a bit of an innovation plateau -- the unit seems to be focusing on cuteness and personality rather than functionality. AOL needed to get working if the company wished to expand into the nether reaches of instant communication and electronic networking. Today's announcement of the company's acquisition of Userplane (for an undisclosed sum) underscored Time Warner's dual strategies in this market, which are (1) dominate and innovate and (2) do it by acquisition, whenever possible.

Userplane CEO Mike Jones says the company will remain a separate unit, and the company's venture capitalist lauds Userplane for having been cashflow positive "for a long time." Userplane brings a very strong position in the dating and social networking market, and it's oh-so-Web 2.0. According to TechCrunch, Userplane "uses Flash and Ajax to offer video, audio and text chat in the browser, in single or multiple chat rooms. Those video and audio chats can be recorded using the company's Webrecorder application."

The chief benefit I see is with Userplane's so-called "white label" strategy, offering its services with minimum branding to sites like Friendster, MySpace, and date.com. Recognize any names there? Yep. Those are the major competitors for share-of-mind with AIM and the rest of the AOL world.

Userplane seems to get its revenues from its software more than advertising, and certainly: its software is great. I'm planning to sign up for an account as soon as I hit "publish" on this post so I can record chats with my Blogging Baby buddies. But monetization of that particular user base will sure be the biggest question on my lips as we all learn how, exactly, AOL will make use of its newest division.

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