Note on the Consumer On-Line Services Industry in 1996

In mid-1996, the environment for consumer on-line services was experiencing rapid change. The on-line services were facing not only more competitors, but also more substitutes. The Internet and the World Wide Web had gained tremendous momentum and were threatening to steal much of the growth in the number of on-line users. This note describes the evolution of the on-line services industry, the changing industry environment, and the main competitors in the industry. This case is available for purchase from ECCH.