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Yahoo Mixes Net Meetings With Its Instant Messaging Tapping Business Customers Company joining WebEx in offering hybrid service; stays ahead of AOL, others.(A)

Investor's Business Daily

| October 03, 2003 | COPYRIGHT 2003 Investor's Business Daily, Inc. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan.  All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)Copyright

Byline: PETE BARLAS

Yahoo Inc.'s instant messaging effort is getting down to business.

The company has teamed up with WebEx Communications Inc. to offer a combined instant messaging and Web conferencing service to businesses.

Yahoo, a leading Web portal, formed the partnership with WebEx, a provider of videoconferencing services, in June. The new service rolled out this week.

Yahoo's move to bundle instant messaging and Web conferencing is another way for the company to boost revenue. The plan could also help Yahoo better compete against AOL Time Warner Inc. and Microsoft Corp., which also sell instant messaging services.

Use of instant messaging is growing fast -- especially among businesses. They're looking for a speedy way to communicate with workers and clients, says Paul Ritter, analyst for the research firm Yankee Group. So the timing could be right for Yahoo and WebEx.

"What these two firms are doing is combining to get into one of the fastest growing areas (in technology)," he said. "Instant messaging is growing 100% annually in usage."

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