AOL and Yahoo! Drop Enterprise IM

Jun 22, 2004

Just days after Yahoo! confirmed that it will no longer sell the enterprise version of its instant messaging service, Yahoo! Messenger Enterprise Edition, America Online Inc. has also stopped sale of its AIM Enterprise Gateway. It appears that the field is now wide open for Microsoft and IBM to dominate the enterprise IM space and that Yahoo! and AOL simply could not compete, although they maintain strong holds on the consumer side.

Yahoo! Messenger Enterprise Edition was also the last remaining piece of Yahoo!'s enterprise software division. The enterprise software division was formed in 2000 but was folded back into the larger corporation in October of 2003.

AOL's enterprise offering was two-years old, but is not expected to be the end of AOL's ventures in the business market. The company has announced that it plans to continue to target business users with the AIM client. AOL has also recently announced a partnership with LightBridge Inc. and WebEx Communications Inc. that is expected to help business users to tailor AIM to their specific needs. Current AIM Enterprise Gateway customers will likely be migrated to IMlogic Inc.'s IM management software, with whom AOL has been working since June 2003.