Yahoo and BT to offer bundled broadband service


Yahoo and BT to offer bundled broadband service

BT is teaming up with Yahoo to offer a joint internet and broadband services to UK customers in an effort to drum up increased DSL (digital subscriber line) adoption.

The companies said that they plan to roll out a bundled BT Yahoo Broadband service in September, which features a customised browser, personalised homepage and a variety of other broadband applications that have yet to be announced.

Also being developed is services that will make use of Yahoo's instant messaging (IM) application Messenger, and would provide features such as bolstered e-mail services and streaming news and entertainment.

The offering comes as BT looks to further the roll-out of broadband in the UK.

Separately BT said it hoped to amass five million broadband customers by 2006, translating into £1bn of revenue annually, and reaffirmed its financial targets for the coming quarters. BT boasts about one million existing wholesale broadband users.

"As broadband moves to the mass market, it needs to offer greater services, content and applications," said BT spokesman Tony Henderson. "This offering with Yahoo lifts the whole broadband experience."

The service will be priced the same as BT's Openworld broadband offering at £29.99 a month, Henderson said, and Openworld customers will be given the ability to migrate to the joint service in coming months.

The companies will also offer a narrowband version of the bundled service.

Scarlett Pruitt writes for IDG News Service

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