Qwest in Pact With HP

Qwest Communications International Inc. said it will offer new data storage and Internet services under an agreement with Hewlett-Packard Co. that could bring the long-distance company $1.5 billion in revenue over three years. Qwest wants to take advantage of demand from companies wishing to move administrative, billing and other functions online. The Denver-based company is doubling its network data service centers to 14, and will outfit them with Hewlett-Packard’s storage computers. The companies will begin offering services jointly in the fourth quarter.

Qwest, which is merging with US West Inc., now hosts Web sites for companies and offers electronic commerce through its high-speed Internet network and data networking centers. Qwest eased 66 cents to close at $28.38 on Nasdaq. Palo Alto-based HP, which will market the storage services with Qwest, plunged $5.94 to close at $89.25 on the NYSE amid a broad tech-stock sell-off.