America Online has revealed in a press release issued on August 3, 2006, that it plans to make available a free service of 5 GB online storage space to all Web users. The initiative will be implemented come September 2006, through AOL's Xdrive online storage solution provider. Powered by Xdrive, the free service is an integer part of the company's overall strategy to overhaul its subscriber based business tactics and to shift toward advertising generated income. Xdrive will deliver 5 GB of free storage space to AOL users, concomitant with access, sharing and back-up features. As upload and download services will be free of charge, users will enjoy the flexibility inherent with accessing their data independent of device or location, while being presented with the possibility to share files through file/folder permission granting. Xdirve also provides automated back-up characteristics, and attachment auto-upload features independent of the e-mail services provider.

"People are accumulating personal digital assets at a fast pace, especially in areas like digital photos and videos," said John McKinley, president of AOL Digital Services. "Yet our in-home research shows that few people are taking steps to protect their digital memories from accidental loss or destruction. By offering consumers the combination of 5 GB of free secure online storage and Xdrive's powerful automated backup and online sharing tools, AOL is giving people a simple, effective and free way to protect their digital memories and have access to them anywhere they go."

AOL will also come with a Premium variant of the free online storage service that, for a charge, will upgrade the volume of space available to 50 GB.