UPDATE 2-Google suffers 2nd email disruption in a month

* Some users unable to access Gmail contacts

* Problem resolved after more than two hours

* Second email disruption in a month, follows news outage (Adds problem fixed, company's comments, details of outages)

SAN FRANCISCO, Sept 24 (Reuters) - Google Inc's (GOOG.O) Web-based email service on Thursday suffered its second technical problem in a month as users reported difficulty accessing their contacts.

The disruption, which took 2-1/2 hours to resolve, followed a two-hour outage of Google's news website this week. Earlier this month, a majority of its email users were unable to access the service for more than an hour after routers got overloaded during a routine server upgrade. [ID:nLN441760]

The series of disruptions comes as Google tries to compete with Microsoft Corp (MSFT.O) and International Business Machines Corp (IBM.N) by extending its services to business users -- who are likely to be less tolerant of long outages.

Reports of the latest glitch flooded the Twitter microblogging site, with users posting comments highlighting and griping about the situation.

"A problem with Google Contacts caused many Gmail users to experience slowness and degraded service for about an hour today," Google said in a statement.

"Mail was back to full speed for everyone around 8 am Pacific and the issue affecting Contacts was resolved shortly after. We're sorry for the inconvenience."

Gmail already competes with Microsoft's Hotmail and Yahoo Inc's (YHOO.O) Web-based e-mail. Google offers its email service for free but also sells a version to businesses with extra features and technical support for $50 per user per year.

Fear of outages, in addition to security concerns, has been a reason many businesses are wary of adopting "cloud computing" technologies offered by Google as well as Salesforce.com (CRM.N) and Amazon.com (AMZN.O), which help deliver data and services over the Internet.

(Reporting by Alexei Oreskovic; Editing by Leslie Gevirtz and Richard Chang)