Intel plans to launch Internet television service this year

Chip maker Intel has confirmed its plans to enter the Internet television industry. Intel's corporate VP Erik Huggers confirmed the news yesterday at All Things D's Dive Into Media conference.

"The TV user experience I get at my home in the Valley is bordering on terrible," Huggers told CNET. "It is what it is, and it stays what it is. ... We think we have an opportunity to provide a service and device that will delight audiences and a user interface far superior to anything in the market today."

Intel's new Internet television service will provide hardware and services directly to consumers, and as it is a highly competitive market in which Intel has no existing relationships, the chipmaker is currently negotiating with content providers. According to Huggers, the TV service will also be available on mobile devices, but it could take some time to expand to multiple platforms.

The company is currently testing a new set-top box as part of the anticipated launch. The set-top box will include a camera to detect viewers and will be powered by Intel chips. It is likely that Intel's offering - which will include both live and on-demand, catch-up television - will be based on a subscription model that offers more flexibility than current systems.

"I absolutely and completely believe in the world of multiplatform ... anytime, anyplace, anywhere. Consumers and audiences expect that nowadays. Yes, we will make services available on other sockets, on other devices, and on other products just like at the BBC. But to get from nothing to 650 devices at the BBC literally took four years. That doesn't happen overnight, but yeah, you bet, that's completely part of the strategy."

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