RealTime IT News

Yahoo! Makes the Switch to AT&T

Yahoo! Inc. became the latest portal to jump on the AT&T bandwagon, as the two firms today announced the launch of "Yahoo! Online Powered by AT&T WorldNet Service."

According to the agreement, AT&T will provide Internet access to new Yahoo! Online subscribers, found at online.yahoo.com. The service will be co-branded and co-marketed, the firms said. Financial terms were not disclosed.

Until today's deal, Yahoo! Online, which debuted in March, was powered by MCI's Internet services. The firm noted that service will continue unchanged for current subscribers through Cable and Wireless, which recently purchased MCI's Internet business.

The agreement with AT&T expands Yahoo!'s relationship with the telecommunications firm. AT&T already serves as a premier provider of traditional communications services, including wireless, prepaid cards and discounted long distance service.

"This combination provides Yahoo! Online users with what they would expect from two Internet leaders--rapid, easy access to the best of the Net," stated Dan Schulman, president of AT&T WorldNet Service. "Now, Yahoo!'s members can get connected to a wide array of AT&T communications from one Web location."

Yahoo! joins fellow portals in offering AT&T Internet access services. Excite, Lycos and Infoseek all launched co-branded Internet access services with the telco giant this summer.

Yahoo! Online Powered by AT&T WorldNet Service is scheduled to be available by the end of October, Yahoo! said, adding that prospective subscribers may register now.

Pricing starts at $14.95 per month for the first six months, and AT&T Long Distance customers retain the $14.95 pricing for an additional six months. Available features include Web access, 24-hour shopping and online auctions.

"This agreement with AT&T adds outstanding connectivity to the Yahoo! experience, giving new Yahoo! Online users an integrated, simple way of getting online and taking advantage of everything Yahoo! and the Internet has to offer," said Jeff Mallett, chief operating officer at Yahoo!