Will Telecom drop Yahoo?

Telecom will commence a review of email service to its broadband customers after thousands of Kiwis were breached in a "suspected phishing attack."

After days of poor explanations, lack of information and a refusal to accept the gravity of the situation, Telecom has recently begun the back-track process, culminating in a "comprehensive assessment of the Yahoo Xtra service."

Undertaking a review over the next two months, CEO Chris Quin accepted Telecom's shortcomings over the past week, saying:

“We share the frustration that our customers have been experiencing over recent months.

"We fully appreciate that repeatedly saying ‘sorry’ doesn’t cut it anymore.

"We are committed to taking a close, hard look at the best way to meet our customers’ email needs.”

After outsourcing the Xtra email service to Yahoo in 2007, Quin said it was the right thing to do at the time in terms of meeting our customers’ desire for an ongoing email service associated with their Telecom broadband account.

But has since admitted change is required.

"However, the global email environment has changed markedly since then and we believe the time is right for a comprehensive review of our approach in this area.”