Remember the days when AOL ruled the internet? Millions of free CDs in mailboxes, millions of computer neophytes installing the guiding hand that was America On Line. But the heyday of AOL is over, it seems.

AOL seems to be getting the picture that most computer users no longer want a program that acts as a nanny. The majority of users are net savvy and getting more so all the time. Dial-up is slow and plodding compared to DSL and cable modems, and no dial-up service can compete when its prices near those of the much faster and more convenient DSL providers.

In order to stay competitive with frontrunners like Google and Yahoo!, AOL is going to start offerring more services free, such as web-based email. The changes could cut a former $26 package down to a price closer to $10 per month. I believe in having a back-up dial-up ISP installed on the PC in case the DSL goes down. I can’t afford to be net-less for long periods.

There are free dial-up ISPs out there, but they usually are even slower than regular dial-up and put the user through so many ads that even if you had the time to wait for the page to load, you find the barrage of pop-up ads to be more than you can take. So $10 would be a reasonable amount for something that, let’s face it, is really only necessary to get you online.

AOL will still have its devoted fans. They are the ones who use AOL’s browser (much inferior to even IE) and have not really learned much about the internet beyond AOL email and chat. But the changes will give AOL a chance to nab some other customers, those who are just searching for a reliable dial-up ISP. At least that is what they are hoping will happen.

AOL will cut some 5,000 jobs to balance out the cost of providing these services free. I hope they are the employees who argue with you for two hours when you try to cancel the service.

Now if someone could just figure out how to successfully cancel AOL…