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Search giant Yahoo announced Monday that it has finalized terms of a multi-year agreement with Verizon to become the default Web portal for the companys new DSL customers. This will also take effect for customers who sign up to Verizon FIOS, a super-fast broadband connection to be rolled out this year. MSN previously provided the default site for Verizon.
Yahoo will provide a branded browser and start page to new Verizon customers and will get a portion of the revenue for every new broadband or FIOS subscriber, much like a similar deal with SBC Communications. In return, Verizon will get a portion of advertising revenue, as well as revenue generated through premium services that users subscribe through Yahoos Web sites.
“This is a milestone in Yahoos strategy of partnering with access providers and adding another U.S.-based partner,” said Steve Boom, Yahoos senior vice president of broadband access and bundled services. Boom also said that the company was in discussions with “everyone” but declined specifically to name any other companies.
Verizon will, however, continue to offer MSN as the default homepage for some users. “If a new customer comes to us from a MSN channel, they will be offered only the MSN co-branded portal,” a company spokesperson told BetaNews. Users who sign up to Verizon DSL independently of MSN or Yahoo will be provided a choice of portals, with Yahoo being listed first.