AOL CEO Tim Armstrong is going to have to fire at least 1,500 people in the next two months. But he’s confident that the troops are 100% behind him.
At the Dow Jones Money & Media conference this morning, Tim said, “Morale’s never fantastic when there’s a potential layoff in the air, but is morale better today than where it was when I started? The answer is definitively yes.” Watch:
We buy it. Tim’s always had a reputation for being a charismatic leader and salesman, and AOL sources geniuinely like Tim.
The real question is: can he build AOL’s media business fast enough to compensate for its declining ISP business. That’ll be hard because those fleeing subscribers also make up a huge portion of the traffic that goes to AOL Media sites (25% to 50%, we hear).