London, United Kingdom -- Feb. 12, 2003 -- Yahoo! Inc. (Nasdaq:YHOO - News), the world's number one Internet destination and the UK's leading Internet brand(1), and BT, the leading broadband provider in the United Kingdom, have teamed up to give BT Broadband customers access to an exciting, new, personalised Internet experience.
Yahoo! and BT will begin offering consumers a premium, personalised Internet package including a bundle of premium products and services within the coming weeks. The service, called Yahoo! UK Plus, will deliver Internet "essentials" to BT Broadband customers, and includes an award-winning junk email control feature, Instant Messaging service, and family features such as multiple email accounts, parental controls, digital photo storage, anti-virus software and firewall security.

The companies also announced their intention to offer a more extensive premium Yahoo! experience for BT Broadband subscribers in the coming months. The new service will be specifically designed for the broadband household and builds upon Yahoo!'s highly successful DSL offering in the United States with SBC Communications. Yahoo! and BT believe that offering customers a built-for-broadband Internet experience will improve and enrich their interaction with the Internet and drive adoption of BT's broadband service.

Yahoo! and BT have committed to a multi-million-pound, cross-platform marketing campaign to promote the Yahoo! offerings along with broadband services from BT. The companies will embark upon a co-marketing campaign which will comprise both on- and off-line advertising. It will encompass the promotion of the service on the special offers section of BT Broadband's re-designed homepage, a dedicated microsite, and extensive promotion across the Yahoo! network which reaches 42 percent of the Internet population in the UK(2).

The Yahoo! UK Plus suite of Internet products and services will comprise:

Personalised portal experience
1 master email account (with 25 MB storage) and anti-virus email software(a)
Up to 10 "family" sub-accounts
Industry-leading parental controls
Firewall protection
Full anti-virus software, including both email screening and subscription updates for the entire computer
50 MB Photos and Briefcase storage
Feature-rich Instant Messaging
Customised browser toolbar
Email functionality will include:
Leading junk mail filter
POP access & forwarding
10 MB message size (out/inbound)
Local message back-ups
Customised "from" and "reply to"
Pierre Danon, chief executive officer for BT Retail, said: "As broadband lies at the centre of our strategic development, it is extremely important for us to partner with leading Internet companies like Yahoo!."

"We are extremely pleased to announce our partnership with BT. The launch of our services with BT is a clear demonstration of Yahoo!'s unique ability to tap into a broad set of premium services and content to create the most compelling experiences for customers," said Terry Semel, chairman and CEO of Yahoo! Inc. "With our more than 2.2 million unique, paying relationships, we have been able to clearly demonstrate Yahoo!'s leadership in the premium services arena, and we are excited to build upon our momentum with this partnership."

About BT Broadband
BT Broadband provides "always-on", high-speed direct access to the internet over a home phone line, enabling users to download more content faster. A simple plug-and-play set-up makes it easy for customers to install themselves. Over 100,000 customers have signed up since the service launched in September 2002.

BT Broadband is 27 pounds a month by Direct Debit or 28 pounds otherwise. Free activation charge is available until March 31 2003. This represents a saving of 60 pounds. New subscribers will also be able to buy a broadband modem for just 50 pounds, a saving of 30 pounds. BT Broadband is compatible with most email services including BT Openworld email.

Broadband is subject to availability and survey and requires a BT single PSTN telephone line. 12 months minimum term applies from date of activation. Broadband costs are in addition to normal PSTN line rental and voice/data call charges. Broadband is not available to certain lines and services. Minimum PC specification required.

BT Broadband will provide up to 512k internet access to the customer's computer and 64k to 256k from the customer's machine via a broadband connection, from where customers can access internet services. This speed is widely accepted as the current standard of broadband speed and is up to 10 times faster than PSTN.

BT Broadband is a mass-market consumer broadband product, designed for customers downloading up to 1 gigabyte of data a day. This would let you download either approximately 200 music tracks, 650 short videos, 10,000 pictures or around 100 large software programmes every day.

(1) Yahoo! has 92% brand awareness (IPSOS Brand Tracking) and had 213 million unique users in December 2002.
(2) NNR, December 2002
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.

This press release contains forward-looking statements that involve risks and uncertainties concerning Yahoo!'s launch of this new service, as well as Yahoo!'s strategic and operational plans. Actual results may differ materially from the results predicted and reported results should not be considered as an indication of future performance. All information set forth in this release and its attachments is as of February 12, 2003, and Yahoo! undertakes no duty to update this information. More information about potential factors that could affect the Company's business and financial results is included in the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2001 and Quarterly Report on Form 10-Q for the quarterly period ended September 30, 2002, including (without limitation) under the captions, "Risk Factors" and "Management's Discussion and Analysis of Financial Condition and Results of Operations," which are on file with the Securities and Exchange Commission (the "SEC") and available at the SEC's website at www.sec.gov. Additional information will also be set forth in those sections in Yahoo!'s Annual Report on Form 10-K for the year ended December 31, 2002, which will be filed with the SEC in the first quarter of 2003.

Contact:

Yahoo! Inc., Sunnyvale
Helena Maus, 408/349-7085
helena@yahoo-inc.com
or
Fleishman Hillard
for Yahoo! Inc.
Tara Kirchner, 415/318-4121
kirchnet@fleishman.com
or
Yahoo! UK & Ireland (London)
Sue Jackson, (44) 20 7808 4200
suej@uk.yahoo-inc.com
or
BT Broadband
Nancy Baynes, (44) 20 7 492 3211
nancy.baynes@bt.com