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AOL, stalwart of the Internet that time seems to have passed by, is going to start it's own video Internet portal. Taking a cue from the success of YouTube, AOL says it will have user produced content in addition to programs from some of it's cable properties. YouTube has been one of this year's most prominent Internet success stories, capitalizing on people's need to publicly embarrass themselves in search of their 15 minutes. Sensing that this sentiment is so strong one Internet site couldn't possibly fill the need by itself, AOL will jump into the fray this week. Having professionally produced content can only bolster the new portal's chances of success. 

Does the Internet need another portal? Probably not, but having the video angle will increase the AOL versions chances, even if only among the “Jackass” set. This seems to be the direction much new entertainment is taking these days though. It all makes sense, when you consider America's obsession with celebrity. Why wouldn't everyone want to be one? Well, they wouldn't, but enough do that it makes these kinds of sites raging successes. Just take a look at the prime time TV schedule any weekday. Reality (?) shows dominate. Everybody wants instant fame and fortune, in varying degrees. The shift in attitude has conspired to make too many young (and not so young)Americans lose focus on the traditional methods for accumulating wealth and a solid retirement nest egg. Don't fall victim to this sense of immediate entitlement and accelerated self worth.

If it's well executed, this new addition to AOL may turn it around, even if just a bit. After a dive somewhat reminiscent of Bo Peng in Athens, and a small rebound, Time-Warner's stock has been rather stagnant since the beginning of 2004. Wall Street didn't seem to react to the news of the new portal with much enthusiasm, however. An hour after the announcement, the stock was trading down almost half a percent. Later in the day, the stock was up over one percent, although that could have been on anticipation of the pending completion of the Adelphia deal T-W is involved in.

A Washington Post story on the introduction goes into more detail here:

http://www.washingtonpost.com/wp-dyn/content/article/2006/07/30/AR2006073000572.html