ALLTEL (NYSE: AT) today announced an agreement with Phone.com, Inc. (Nasdaq: PHCM), a leading provider of mobile Internet software, applications and services, to license the Phone.com™ UP.Link™ Server to enable Internet access for wireless customers.

ALLTEL plans to roll out the service in selected markets by September, expanding the service offering to the majority of its customers by year-end. Terms of the agreement were not disclosed.

The ALLTEL wireless Internet service allows customers to view Internet-based information on their wireless handsets. Customers can send and receive e-mail and access Internet content such as weather reports, sports scores and stock quotes on their wireless phones.

“This agreement with Phone.com positions us for an aggressive rollout of wireless Internet service to the majority of ALLTEL customers by the third quarter of this year,” said Kevin Beebe, communications group president for ALLTEL.

“We are delighted that ALLTEL has chosen the Phone.com UP.Link Server as its wireless platform,” said Mike Mulica, senior vice president of worldwide sales, consulting and support for Phone.com. “The incorporation of our proven, reliable and scalable wireless Internet technology into ALLTEL's network will allow them to deliver very quickly and throughout their broad subscriber base.”

The agreement follows technical trials that were conducted in Little Rock and Charlotte, N.C.

“Our two recent customer trials were extremely productive,” said Roger Woziwodzki, director of data services and products for ALLTEL. “It was a strong validation that wireless Internet is something our customers really want and need.”

Customers will need Internet-enabled digital wireless phones to use the wireless Internet service. ALLTEL currently offers several handset choices, with more additions planned throughout the year.

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