America Online to Spend $10 Billion on Cable Access

Hoping to expand its already considerable heft on the online market, America Online Inc. is planning to spend up to $10 billion on cable access in the next year.

Ted Leonsis, president of AOL’s (AOL)
Interactive Properties Group, told Bloomberg the industry giant plans to
use cable access, electronically enhanced phone lines and satellite and
wireless technologies to hook potential clients.

The company wants to take advantage of new systems that some clients are
setting up to link multiple computers in their homes in addition to
alternatives to PCs, such as screenphones.

With 18 million customers, AOL’s goal is to coax members to use its
services even when they are away from their PCs.

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