Under the terms of the agreement, a link to Yahoo! Spain’s mobile services (http://wap.yahoo.es) will be the first featured link in the ‘Portal’ directory of e-moción. Yahoo! services available include Yahoo! Mail, Yahoo! Calendar, Yahoo! Address Book, Yahoo! Finance, Yahoo! Weather, Yahoo! News, Yahoo! Sport, Yahoo! Horoscope and preconfigured My Yahoo!.

Telefónica Móviles, is the leading mobile telephony operator in Spain, and the fifth largest in Europe, with more than 12 million clients. It recently introduced the “e-moción” concept, which is the gateway to a wide range of Internet access services from Telefónica MoviStar mobile phones. It offers access to more than 80 content providers and portals and to a wide range of WAP services, allowing its users access to the Internet from the palm of the hand.

The agreement with Telefónica Móviles España is a further development in the Yahoo! Everywhere initiative which delivers Yahoo! services formatted for both fixed and wireless connections via PCs, mobile telephones, personal digital devices and digital TVs connected to the Web. Yahoo! continues to prioritise this strategy and has aggressively pursued distribution deals with both handset manufacturers and mobile network operators. TIM (Italy), Virgin Mobile, Trium (UK), Radiolinja (Finland), D2 (Germany), Telenor (Norway), Cosmote (Greece) Trium and Siemens.

Fabiola Arredondo, Managing Director of Yahoo! Europe, commented:

Miguel Menchén, General Manager of Market Development of Telefónica Móviles España commented:

About Yahoo!

Yahoo! España (http://www.yahoo.es) , part of the global network of Yahoo!, offers information and services adapted to the needs and language of Spanish consumers. At Yahoo! España, Internet users can search and find web sites structured in different categories, in Spanish language, and with the possibility to switch to equivalent categories on other Yahoos worldwide. Yahoo! opened its offices in Spain in November 1998.

Yahoo! Europe provides commerce, communication and media services throughout Europe to meet the needs of local consumers. Yahoo! Europe is comprised of the Yahoo! sites for the UK & Ireland (www.yahoo.co.uk), France (www.yahoo.fr), Germany (www.yahoo.de), Italy (www.yahoo.it), Spain (www.yahoo.es), Sweden (www.yahoo.se), Norway (www.yahoo.no) and Denmark (www.yahoo.dk). The Yahoo! offices in London, Paris, Munich, Milan, Madrid, Stockholm and Copenhagen are staffed by local nationals and Yahoo! Europe is headquartered in central London.

Yahoo! Europe is part of Yahoo! Inc. (Nasdaq: YHOO), a global Internet communications, commerce and media company that offers a comprehensive branded network of services to more than 156 million unique individuals each month worldwide. As the first online navigational guide to the Web, www.yahoo.com is the leading guide in terms of traffic, advertising, household and business user reach, and is one of the most recognized brands associated with the Internet. The company also provides online business services designed to enhance the Web presence of Yahoo!'s clients, including audio and video streaming, store hosting and management, and Web site tools and services. The company?s global Web network includes 23 local World properties outside the United States. Yahoo! has offices in Europe, the Asia Pacific, Latin America, Canada and the United States, and is headquartered in Santa Clara, Calif.

About Telefónica Móviles Telefónica Móviles España (http://www.tsm.es), with more than 12 million clients, is the leader in the Spanish mobile telephony market. During the last year, the company has been doing large investments concerning research in the field of mobile Internet and the development of mobile data. The result of these efforts has been the launch of “e-moción” a few weeks ago. Telefónica Móviles has also created a Technology and Development Center in order to continue the integration of mobile and Internet technologies, which will allow to turn the mobile phones into personal communicators. Its aim is to develop new services in this field.

Media Contacts:

Yahoo! Europe

Sue Jackson Tel: ++ 44 20 7368 3876 suej@uk.yahoo-inc.com

Yahoo! España

Victoria Camargo, BEST RELATIONS Tel: ++ 34 91 521 11 34 victoria@bestrelations.com

Telfónica Móviles España

Dirección de Comunicación Tel: ++ 34 63 000 36 26 comunicación@tsm.es