Ending weeks of rumors regarding a partnership, (www.wal-mart.com) Wal-Mart Stores and (www.aol.com) America Online today announced an alliance to provide Internet access in communities where Wal-Mart operates stores. The deal includes a new Internet service provider and cross-marketing initiatives between the two companies.
"This relationship provides us with a great opportunity to introduce new users to all the benefits of the Internet and enrich the experience of all online consumers," says Bob Pittman, America Online president and chief operating officer.
The new co-branded ISP will be similar to AOL's current value-priced the CompuServe service. It will be aimed at providing Internet access to consumers in smaller Wal-Mart communities, the companies say. Today, for example, about six out of every 10 towns in which Wal-Mart operates have local Internet access.
As part of the agreement, Wal-Mart also will promote both the Wal-Mart/AOL ISP and AOL interactive service through advertising and in-store promotions. In return, Wal-Mart.com will be available via AOL's Shop@ areas. The companies also say that AOL is helping to redesign Wal-Mart.com, which will be introduced Jan. 1 with expanded products and services.
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