AT&T, one of the major internet service providers in the country, has revealed that it is set to increase its broadband prices in most states.

The company said that prices on some of its most popular broadband packages would increase in cost by $5 per month from March.

AT&T added that the rises would apply in all states except those acquired with the buyout of BellSouth.

Michael Coe said that the move would impact customers who used the firm's three slowest broadband tiers, ranging from 768 Kpbs to three Mbps.

Two major players in the internet world have announced a new strategic alliance that could result in a more innovative online experience for consumers.

AT&T and Yahoo! said that the agreement would create new advertising-based revenue opportunities for both companies. They added that these would be generated from display capabilities from either mobile handsets or PCs.

The FCC approved AT&T’s $85.8 billion takeover of BellSouth. Not surprisingly, the deal is the largest ever in U.S. telecommunications history. The newly formed company now has a market capitalization of over $220 billion which makes it more than double in size compared to its biggest competitor Verizon.