By Marguerite Reardon

America Online has revived its strategy of bundling high-speed access with its service to help curb the decline in its subscriber base.

AOL on Wednesday began offering its Internet service, which includes AOL e-mail and content, to customers in the Washington, D.C., area and Chicago over DSL lines from Covad Communications. The new service offers customers 1.5mbps download speeds for $29.95 per month if they sign a one-year contract. Customers who want 3mbps can get the service for $39.95 with a one-year contract. The service is currently available only in the two test markets, but the company plans to begin launching the service nationwide throughout this summer and fall. Story Continues