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Technology Stocks : C-Cube
CUBE 36.82-0.5%Dec 4 3:59 PM EST

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To: Bob Strickland who wrote (33079)5/8/1998 7:56:00 PM
From: John Rieman   of 50808
 
BDB......................................

ijumpstart.com

BIB AND BDB FIGHT IT OUT

A legal spat broke out last week when BSkyB issued a writ against British Digital Broadcasting (BDB) over the design of BDB's set-top box. BSkyB is incensed by BDB's plan to use the Canal Plus conditional access system called Mediaguard, as opposed to the one developed by its own subsidiary NDS Limited. BSkyB had been threatening legal action over the issue for some time.

Nigel Walmsley of BDB issued the following statement last week: "BSkyB claims that our set-top boxes will not be interoperable with theirs. This claim is unfounded. All that is required is for BSkyB to agree to co-operate to finalise the technical arrangements...We are ready and waiting. BSkyB should compete in the marketplace, not in the courts."

BIB (British Interactive Broadcasting) - a consortium including BSkyB, BT, Midland Bank and Matsushita - has confirmed that a "soft" digital satellite launch will take place in June, with a bigger launch to follow over the summer. The initial launch will be for around 200 Pay-TV channels, with some interactive services to follow - according to a calendar that is regularly being changed. The most recent dates include some selective services by November this year that will act as 'barkers' for the first stage official launch in April 1999. These services include interactive ads, simple games and information services. The full interactive Monty will only take place in March 2000 and will include extended retail, complex travel, on-line betting/gaming, downloadable games and education services.

Meanwhile, BDB (British Digital Broadcasting) is planning to go ahead with its own digital terrestrial service in the autumn. BDB is a partnership between Carlton and Granada (each owns 50 per cent). It will launch 15 channels from Carlton, Granada, BBC/Flextech and BSkyB. Twelve of these channels will be part of the basic subscription. Three will be premium channels.

The BDB set-top box design has been agreed by all the UK terrestrial broadcasters, including BBC, ITV and Channel 4. BDB has placed orders for set-top boxes with Grundig, Pace, Philips, Nokia, Sony and Toshiba. The consortium has contracted to use SECA's Mediaguard as its conditional access system. (SECA is a partnership between Canal Plus and Bertelsmann, a conditional access system is the electronic turnstile' which allows subscribers to watch pay-TV services).
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