1.5 million people still pay for the service – but not for dial-up internet access

1.5 million people still pay for the service – but not for dial-up internet access

American line shirt, AOL from Urban Outfitters

Source: Urban Outfitters

In the middle of mishmash of verizon media assets from which Apollo Global Management purchases Verizon – Yahoo Finance, TechCrunch, ad tech, Yahoo Fantasy – there’s a cash flow that won’t die: AOL.

The famous internet company that once bought Time Warner for $ 182 billion and used to make billions of dollars a year by selling dial-up modem access, still has a monthly subscription service called AOL Advantage.

In 2015, 2.1 million people still used AOL’s dial-up service. This source of income has dried up. The number of switched users is now “in the low thousands,” according to a person familiar with the matter.

But AOL still has a fairly lucrative base of customers who pay for tech support and identity theft services every month. There are approximately 1.5 million monthly customers pay $ 9.99 or $ 14.99 per month for AOL Advantagesaid another person, who asked not to be named because the information is private. If the average revenue per user is $ 10 per month, that’s $ 180 million in annual revenue.

Apollo announced on Monday that it is pay $ 5 billion for 90% of Verizon Media. The private equity firm has no immediate plans to split or sell the assets of the Verizon Media Group, preferring to grow the collection through investment and management, the people said. Still, the long-term plan may involve finding different buyers for the business collection after Apollo tries to add value to the units, people said.

Verizon agreed to pay $ 4.4 billion for AOL in 2015 and $ 4.5 billion for Yahoo in 2017.

While AOL has largely faded from popular culture, Yahoo still has around 150 million daily active users and nearly 900 million monthly active users.

An Apollo spokesperson declined to comment. A spokesperson for Verizon Media did not immediately respond to the comments.

WATCH: Cramer over Verizon’s deal to sell AOL, Yahoo to Apollo for $ 5 billion

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