AOL to Shut Down Xdrive, Other Services

By Juan Carlos Perez

PAGE 2

AOL will try to sell Xdrive, AOL Pictures and Bluestring so that existing users of those services will be able to transition to a new provider, but if no buyer is found, the products will be shut down by the end of the year, according to the source.

If the services are closed, AOL plans to either burn end users' content into CDs and DVDs and send it to them or walk them through how to save the photos, videos and other media to local hard drives, the source said.

According to the memo, AOL also plans to merge its Video Portal with its AOL Programming Video Experiences by the beginning of the fourth quarter, as well as try to boost the online ad revenue generated by the AOL browser toolbar, desktop software, Webmail service and Truveo video search engine.

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