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AT&T; Changes Internet Services, Fees

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Bloomberg News

AT&T; Corp. said it is offering unlimited Internet access for $21.95 a month, and has added features such as instant messages as the No. 3 Internet service provider seeks more subscribers. AT&T; previously offered a $19.95 monthly fee for its WorldNet service, but capped usage at 150 hours. WorldNet still offers the 150-hour monthly plan, although it has temporarily lowered the rate to $14.95. WorldNet will let subscribers use six e-mail names per account instead of one. The price rise and new features mean that AT&T;’s Internet service more closely mirrors No. 1 online service America Online Inc., which earlier this year raised its monthly fee to $21.95 and which allows subscribers to have five e-mail identities. WorldNet has more than 1.3 million subscribers, compared with more than 14 million for America Online. Microsoft Corp.’s online service had about 2.4 million members as of July. New York-based AT&T; says its purchase of Tele-Communications Inc. and IBM Corp.’s network business will increase its subscribers to almost 3 million. AT&T; has scheduled a shareholder meeting Feb. 17 for voting on its proposed $49.8-billion purchase of TCI. The acquisition also requires approval by European and U.S. regulators. ATT shares rose 69 cents to close at $69.25 on the NYSE.

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