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In April, AOL took several steps to expand its ability to generate revenue through online video advertising. On March 15, 2012, AOL announced the acquisition of Hipster, a mobile photo-sharing app, for an undisclosed amount. On March 10, AOL announced that it would cut approximately 900 workers following the HuffPost acquisition. In December, AIM eliminated access to AOL chat rooms, noting a marked decline in usage in recent months. On October 31, AOL Hometown (a web-hosting service for the websites of AOL customers) and the AOL Journal blog hosting service were eliminated. On February 6, Time Warner CEO Jeff Bewkes announced that Time Warner would divide AOL's internet-access and advertising businesses, with the possibility of later selling the internet-access division.

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Previously, AOL would add 15 seconds to the time a user was connected to the service and round up to the next whole minute (thus, a person who used the service for 12 minutes and 46 seconds would be charged for 14 minutes). AOL provided free access to community leaders in exchange for moderating the chat rooms, and this effectively made chat very cheap to operate, and more lucrative than AOL's other services of the era. The program dated back to AOL's early days, when it charged by the hour for access and one of its highest billing services was chat. In addition to AOL Desktop, the company also offered a browser toolbar Mozilla plug-in, AOL Toolbar, for several web browsers that provided quick access to AOL services. Version 9.8 was released, replacing the Internet Explorer components of the web browser with CEF (Chromium Embedded Framework) to give users an improved web browsing experience closer to that of Chrome.

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The AOL software then was given a feature called AOL Dialer, or AOL Connect on Mac OS X. This feature allowed users to connect to the ISP without running the full interface. The lawsuit sought damages of up to $1000 for each user that had downloaded the software cited at the time of the lawsuit. When CNBC reporters tried to have an account on AOL cancelled, they were hung up on immediately and it ultimately took more than 45 minutes to cancel the account.

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The company announced that it would offer gross rating point (GRP) guarantee for online video, mirroring the television-ratings system and guaranteeing audience delivery for online-video advertising campaigns bought across its properties. The new identity, designed by Wolff Olins, was integrated with all of AOL's services on December 10, the date upon which AOL traded independently for the first time since the Time Warner merger on the New York Stock Exchange under the symbol AOL. According to Falco, as of December 2007, the conversion rate of accounts from paid access to free access was more than 80%. AOL management stressed that "significant operations" would remain in Dulles, which included the company's access services and modem banks. The change from paid to free access was also designed to slow the rate at which members canceled their accounts and defected to Microsoft Hotmail, Yahoo! or other free email providers. AOL purchased search engine WebCrawler in 1995, but sold it to Excite the following year; the deal made Excite the sole search and directory service on AOL.
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