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AOL Layoffs Happening Today

Mike Musgrove

Looks like the ax is falling at AOL today, according to a report posted this morning by Silicon Alley Insider.

In an internal memo, the company announced in January that it would be laying off workers as a result of the economic recession and a sharp reduction in spending by online marketers. The company's plan is to shed about 10 percent of its workforce, or 700 workers, by the end of March. Most of the firings taking place today are, reportedly, at AOL's Dulles campus.

If you or anybody you know has been affected by the news, please drop me a line or post a comment below. I just called AOL and was told that the top person listed as their corporate media contact no longer works at the company.

By Mike Musgrove  |  March 10, 2009; 12:28 PM ET  | Category:  Mike Musgrove
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Please email us to report offensive comments.

My partner was just laid off from the NYC office. Two months severance for six years of service, uggg.

Posted by: nyccouple | March 10, 2009 1:40 PM

My husband was laid off from the Dulles office today. We knew about it last night because the night before a layoff, AOL sends affected employees an email saying that they must attend a mandatory HR meeting the next day.

He was given 2 months severance and 2 months free COBRA. He worked for AOL for 15 years.

Posted by: Foodie331 | March 10, 2009 4:16 PM

AOL has been going down the tubes for years, recession or sorry to all you hard working folks that got the ax....

Posted by: griffmills | March 10, 2009 4:33 PM

Bebo employeess laid off as well. AOL shut down the entire Austin Tx Bebo office today. We were also notified last night around 10pm of a mandatory 10am meeting. We were also given 2 months severance and 1 hour to vacate the premises. Nice.

Posted by: AustinTxReader | March 10, 2009 6:32 PM

AOL has been cutting headcount since

Their primary business model was
aging in the 90's. Dial-Up ISP?
hey I have FIOS before that I had Cable
Broadband, before that i had DSL
and i can't wait for WiMax.

who needs a 56K modem service?

Now AOL had a great idea in the mid 90's.
Sell internet with training wheels
for the huge crowd of new comers, who
were riding the adoption wave, but
AOL never changed their business model.
The fortunes they spent on advertisement
would have been better spent getting
themselves to be the front end for
every cable broadband user, and that
they never vertically integrated with a
product and centralization play
as google did.

Had AOL become a content company
they could have pioneered in Selling Music
(iTunes anyone) or video (Netflix) or
even convinced people that the Web was
computing and sold Thin Clients with
Java applications (OpenOffice, Linux,

AOL Stuck with a failing model, while
never leveraging their Time-Warner libraries
nor branching out in to technology

AOL had the opportunity to push Linux Computers with a Mozilla Browser and Open Office with a Java Virtual Windows client
to provide subscription windows software
and music. If your AOL subscription included 3 movies a week and 10 songs a week plus open office on a linux computer,
they could have sold PC's for half of the
price of Dell with a built in AOL subscription that would have been 5 years ahead of Apple and Netflix.

instead they played around with ad campaigns
that never kept the churn down.

AOL could have become google, ubiqutious,
available, high value and

Posted by: patb | March 10, 2009 7:01 PM

These comments are great. i tried AOL for one month back in 2000 and knew this was a sorry product. AOL good riddance to bad garbage.

Posted by: probking | March 10, 2009 8:16 PM

That's despicable. Time Warner has a market cap of $25 billion and the best they can do for someone with 15 years is two months severance?

Jeffrey Bewkes, Time Warner's chairman and CEO, earned $19.5 million in 2007.

Posted by: CardinalFang | March 10, 2009 8:21 PM

My mother has worked as an Executive Admin for countless VP(s) at the Dulles campus for years. She's been spared losing her job time and time again because when the VP she works for gets fired, she just moves sideways to another VP. The VP(s) never really mind because their separation package is great, and they're often ready to move on to retirement or at least a viable business. It's funny the things she finds as she's, "cleaning out their desks," though. The waste in that company is cliche. Un-used multi thousand dollar gift certificates to Best Buy, Amercian Express gift cards, and other corporate bribe items in shocking quantity. It's another example of comical corporate money tossing. You're laying people off from the top down and still spending like its Black Friday. I'm not sure if they're idiots, or hippees. Maybe they listen to too much Dylan, "It's better to burn out, than fade away." Welcome to our economy. I wonder if they'll get Bail Out money for more gift certificates?

Posted by: AOLousy | March 12, 2009 2:05 AM

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