AT&T; to Levy Fee for Heavy Internet Use

AT&T; Corp. will begin charging an hourly fee for Internet access on top of its monthly flat rate of $19.95, joining IBM Corp. in charging customers for heavy use. AT&T;’s WorldNet service will charge 99 cents per hour over its flat rate to users who spend more than 150 hours a month on the Internet, effective May 1. The pricing change comes as Internet service providers find that flat-rate pricing prompts some subscribers to stay online all day. “It’s a recognition that a small portion of subscribers account for a disproportionately large amount of usage,” said Jill Frankle, an analyst at market research company International Data Corp. Basking Ridge, N.J.-based AT&T;, the nation’s largest long-distance phone company, said it expects the pricing change to affect 3% of its 1.1 million subscribers. AT&T; also said that it will cut rates for low-volume users. AT&T; shares fell $1.19 to close at $65.75 on the New York Stock Exchange.