SBC Communications and Yahoo! extend landmark strategic alliance and expand relationship; customers to benefit from integrated entertainment and communications devices.

SBC Yahoo! experience to extend content beyond the desktop, to provide customers with anytime, anywhere access to entertainment and communications from virtually any device

San Antonio, Texas, Sunnyvale, California, November 18, 2004

SAN ANTONIO, TEXAS, AND SUNNYVALE, CALIF., November 18, 2004 — SBC Communications Inc. (NYSE: SBC), the nation's leading DSL provider, and Yahoo! Inc. (Nasdaq: YHOO), the No. 1 global Internet destination, today announced a multi-year extension of their industry-leading alliance to provide co-branded DSL and Dial services. Building on the proven success of their existing alliance, the companies also announced plans to extend the SBC Yahoo! customer experience beyond the PC to home television and audio systems, Cingular wireless phones, SBC FreedomLink Wi-Fi and SBC Home Networking equipment.

The extended relationship will enable consumers to simplify their lives by allowing them to access personalized entertainment and communications content from almost anywhere, with a consistent user experience across a variety of connected devices. The first new products developed as part of the expanded alliance will be available in 2005.

"This alliance advances the SBC strategy to evolve the 'digital home' into the 'digital lifestyle'. What you see on your SBC Yahoo! Internet home page is coming to a TV set or wireless phone near you," said Edward E. Whitacre Jr., chairman and chief executive officer, SBC Communications Inc. "Customers want communications that revolve around them, not the other way around. By integrating the SBC Yahoo! experience across multiple devices and networks, we'll deliver services that our competitors cannot match."

"The SBC Yahoo! alliance is unmatched in the industry, both in terms of its depth and its proven success, and we are excited to build upon that success far into the future," said Terry Semel, chairman and chief executive officer, Yahoo! Inc. "The new services that will be developed out of this expanded relationship represent the next step in Yahoo!'s strategy to further deepen consumer relationships by extending our products and services beyond the desktop. SBC and Yahoo! are putting consumers in the driver's seat, delivering what they want - when, how and where they want it."

SBC and Yahoo! to Launch Integrated Entertainment and Communications Services

This expanded alliance builds on the success of the two companies in developing the SBC Yahoo! DSL and Dial Internet services and continues their commitment to ensuring consumers have the most innovative and integrated experience available. SBC companies and Yahoo! are working together to give customers the convenience of accessing a range of entertainment and communications services virtually anytime, anywhere and from almost any device, all with a consistent and familiar look and feel.

Through the expanded alliance, the companies will focus on integrating the SBC Yahoo! entertainment and communications experience across multiple SBC services, extending features beyond the computer desktop:

  • Project Lightspeed and Home Entertainment — The SBC Yahoo! look and feel will be extended to customers of a new SBC home entertainment service. It will be available to SBC Yahoo! DSL subscribers and to customers who will receive super high-speed Internet access over the new SBC Project Lightspeed fiber optic network. The experience will extend to the home television and stereo, including features such as Video On Demand, LAUNCHcast Internet Radio, SBC Yahoo! Photos and remote access to digital video recorders (DVR). It will also enable customers to view Caller ID or access all their messages — either e-mail, voicemail or faxes - from the SBC Unified Communications service on several different devices.
  • Cingular Wireless — The companies will work to develop a co-branded SBC Yahoo! experience for SBC Yahoo! customers who subscribe to Cingular wireless service, enabling them to access personalized Web-based content and all their integrated messages.
  • SBC FreedomLink Wi-Fi — The companies will work to further integrate the SBC Yahoo! environment with the SBC Wi-Fi service, including local search information which, for example, would allow customers to get directions to the nearest local florist — even if they are not in their hometown.
  • SBC Home Networking — The companies will work to integrate an SBC Yahoo! environment with the home networking gateway which is offered along with SBC Yahoo! DSL service.
  • SBC Unified Communications — The companies will work to integrate the current service features to work seamlessly with SBC Yahoo! Mail, further enhancing the "one mailbox" service for all e-mail, wireline and wireless voicemail and faxes. The companies will also work together to develop one consolidated address book, accessible by computer, phone or television.

SBC Communications, Inc. and Yahoo! first announced their strategic alliance in November 2001 and launched co-branded DSL and Dial services less than a year later. Today, the SBC-Yahoo! alliance stands as one of the most successful in the industry, based on subscriber growth and the strength of its award-winning features. The companies have continually unveiled service improvements, including the award-winning SBC Yahoo! DSL Business Edition, and earlier this year launched a suite of services designed to help small businesses establish an online presence.

SBC Communications Inc. is a Fortune 50 company whose subsidiaries, operating under the SBC brand, provide a full range of voice, data, networking, e-business, directory publishing and advertising, and related services to businesses, consumers and other telecommunications providers. SBC holds a 60 percent ownership interest in Cingular Wireless, which serves more than 46 million wireless customers. SBC companies provide high-speed DSL Internet access lines to more American consumers than any other provider and are among the nation's leading providers of Internet services. SBC companies also now offer satellite TV service. Additional information about SBC and SBC products and services is available at www.sbc.com.

About Yahoo!Yahoo! Inc. is a leading provider of comprehensive online products and services to consumers and businesses worldwide. Yahoo! is the No. 1 Internet brand globally and the most trafficked Internet destination worldwide. Headquartered in Sunnyvale, Calif., Yahoo!'s global network includes 25 world properties and is available in 13 languages.

SBC is a registered trademark of SBC Knowledge Ventures, L.P. Yahoo! and the Yahoo! logo are trademarks and/or registered trademarks of Yahoo! Inc. All other names are trademarks and/or registered trademarks of their respective owners.