Yahoo and Verizon Team Up For Internet Service Launch

Verizon Communication Inc. and Yahoo Inc. got together to launch a cheaper high-speed Internet service.

Sunnyvale-based Yahoo announced the Verizon service launch on an advertisement placed on the company's Web site Monday night, with details on the DLS offer. The information was confirmed by John Reseburg, Yahoo representative.

For $14,95 monthly fee, subscribers will be able to download Web pages via a digital subscriber line, at speeds of up to 768 kilobits.

The cheaper service, which requires a one year contract and has a price hike after 12 months, offers Yahoo premium services, like antivirus protection, on-demand music videos and unlimited photo storage, says the advertisement on Yahoo's site.

For now, Verizon comes far behind SBC Communications in terms of transmission speed. SBC transmits data at up to 1,5 megabits, twice as fast as Verizon's. But that's only a marketing policy, because Verizon can provide transmission speeds comparable to SBC's, for a fee from $19.95 to $37.95 a month.

Verizon and some telephone companies are cutting prices to face the competition from cable companies which can offer faster data delivery and at greater distances than DSL.