Verizon and Microsoft announce alliance
C|Net | at | by Mike
Verizon Communications announced a broadband service deal with Microsoft on Thursday that combines Verizon's digital subscriber line (DSL) network with the software giant's MSN portal. "You can think of it as a strategic alliance, but it's actually a new service," said Microsoft Chief Executive Steve Ballmer on a conference call to discuss the agreement. The companies said they will create a new type of DSL experience: giving subscribers services and content with their high-speed Internet access. MSN's content, instant messenger service and Hotmail e-mail service will all be part of the deal. The companies said they would share revenues from the new service, but declined to give specific financial terms.
The service will create a unified platform for wireless and broadband access, building on a deal struck last month between Microsoft and Verizon Wireless, the cellular division of Verizon Communications. The new service will be available early next year to Verizon's 34 million customers and will be the same whether offered through Microsoft or Verizon, the companies said. Customers will have a choice of e-mail addresses with Verizon's or Microsoft's name, and they will be able to choose to be billed by either company.