(30 December 2006 7:04 pm)

MUMBAI: United Online, Inc, a provider of consumer internet and media services, and Covad Communications Group, Inc. a provider of integrated voice and data communications, have entered into an agreement. Under this, United Online would expand its NetZero DSL broadband internet service offering using Covad’s network.

United Online recently launched NetZero Digital Subscriber Line (DSL) to provide its customers with an opportunity to upgrade to broadband.

United Online chairman and CEO Mark R. Goldston said, "Through this agreement, United Online has the opportunity to benefit from access to Covad’s network and their expertise in broadband. We believe it will enable us to expand our NetZero DSL broadband offering and give more of our NetZero customers who want a broadband experience the ability to easily upgrade from dial-up while keeping their NetZero email address."

Covad president and chief executive officer Charles Hoffman said, "We are pleased to partner with United Online to provide its customers with high-speed Internet service and look forward to creating a successful partnership. As the leading independent provider of next-generation broadband services, we welcome the opportunity to increase our wholesale business through this agreement."

United Online intends to launch this expansion of its NetZero DSL service near the end of the first quarter of 2007. In addition to NetZero’s current regional DSL coverage, this agreement with Covad allows United Online to offer NetZero broadband services to DSL-eligible customers within Covad’s service area.

United Online currently estimates that, following the addition of NetZero DSL services in Covad's service area and when combined with NetZero's existing coverage, NetZero will be able to offer broadband services to approximately 30 per cent to 35 per cent of United Online's current ISP customer base, although the percentage could vary significantly based on a variety of factors.

The pricing and other terms of services will be made available closer to the time of launch and may vary based on geographic locations, the company said.