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One reason that a flat fee for internet service was appealing is because of the popularity of chat rooms.

In 1996, AOL made history by offering internet service for a flat monthly rate.For the first time in history, people were able to stay online for as long as they wanted without incurring expensive data charges.To grow its customer base, AOL produced CD-ROMs with the AOL software on them and mailed them to potential customers across the country.All the recipient had to do was insert the CD-ROM, install the software and enter a credit card for payment in order to get online.The strategy was hugely successful, and by 1999, AOL had a subscriber base of 17 million customers.