NEW YORK (Reuters) - Verizon Communications Inc on Wednesday launched an unlimited wireless calling service for small businesses, amid growing competition with AT&T Inc to grab corporate customers.


Verizon said corporate clients that also subscribe to its "Freedom for Business" unlimited long-distance service can get unlimited calls on Verizon Wireless to phone numbers on the same carrier. Verizon Wireless is a joint venture with Vodafone Group Plc .

The plan will also include unlimited calls to up to five landline phone numbers, with a fixed monthly fee of $4.99 per wireless line.

Verizon Wireless launched a $99-a-month unlimited calling plan for consumers in February. AT&T and other U.S. carriers quickly followed, sparking fears of a price war.

Verizon Wireless is now the No. 2 U.S. wireless carrier but is set to overtake AT&T for the top spot if a planned acquisition of rural wireless carrier Alltel goes through.

While the popularity of mobile phones has been the key sales driver for AT&T and Verizon in recent years, the companies also see businesses as a key source of growth.

(Reporting by Ritsuko Ando; Editing by Lisa Von Ahn)


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