NEW YORK: AOL Time Warner Inc. on Thursday said it had expanded its
technology and marketing deal with networking giant Cisco Systems Inc. and made
CVS Corp.'s pharmacies a primary retail partners for its "You've Got
Pictures" service. However, terms of both deals were not disclosed.
The deals, are part of AOL Time Warner's seemingly never-ending campaign to
strike partnerships with blue-chip firms, which it says is one of the reasons it
has weathered the storm created by the sharp decline in ad spending that has
hurt many of its media rivals.
Most of the AOL's recent deals have been multifaceted - covering marketing,
advertising, sponsorships, and sometimes technology - and have occasionally been
struck with companies that have other relationships with AOL Time Warner - the
world's largest Internet and media company.
Under the latest pact with Cisco, the networking company will continue to
provide technology products and services for several AOL Time Warner units,
including AOL and Time Warner Cable. The firms will also continue to work
together on the development of products and services for the consumer market.
The terms of the technology pact, lets AOL Time Warner double the capacity
and coverage of its AOL Transit Data Network by adding routers from Cisco, which
lets AOL support the growth of its interactive brands. Cisco will continue to
advertise across AOL Time Warner online properties, including the AOL service
and Fortune.com and would continue its marketing relationships with the
company's print and cable divisions including Time Inc. and Turner Broadcasting.
In the deal with CVS, consumers will be able to use AOL's "You've Got
Pictures" service in more than 4,100 stores when the new version is
launched this summer. The service, delivered in conjunction with Eastman Kodak
Co., is an interactive service that will allow consumers to view, share, and
store photographs online.
When consumers use CVS to develop their film, in addition to receiving both
prints and negatives, their pictures will also be delivered directly to their
AOL account. Since the completion of AOL's $106.2 billion purchase of Time
Warner Inc. in January, AOL Time Warner has struck pacts with Compaq, Foundry
Networks, Swiss watchmaker Swatch Group, and retailer CompUSA Inc.
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