I'm not using this term any more. I think it has completely lost its meaning.
"lol" is supposed to mean "laugh out loud." The irony of this is that I highly doubt anyone laughs out loud when they type these three letters. If anything, it sounds a bit platitudinous when I read it at times because it is so overused. Unless you put an exclamation mark at the end of it, I register this phrase as "I find what you said slightly amusing... I guess" or "I really wasn't paying attention to what you just said."
This is not targeted at anyone in particular. And you are free to use this when talking to me, void of judgement. But, I'm going to stop reproducing little "lol" babies on the internet. Pest control, really.
I myself overuse the smiley face emoticon. But, I like it. And I won't stop using it. :)
If I myself ever use the term "lol" please call me out on it. "haha!" is what I'll be using when I find something funny.
I hope the "lol" abbreviation disappears... one can only hope.
End rant o' the day.