Microsoft developing new TV chip
Thursday, August 24, 2000
BLOOMBERG NEWS
Microsoft Corp. and its WebTV unit are developing a chip to be introduced in the fall to power the
company's interactive television service, the company confirmed yesterday.
The Solo2 chip, being made by Toshiba Corp., can be used for other devices and services that use
the Internet, graphics and video, said Microsoft Senior Vice President Jon DeVaan. The new chip
will be introduced in television set-top boxes for Microsoft's new Ultimate TV service.
Microsoft, which makes the softare that runs with Intel Corp. chips in personal computers,
probably has spent more than $100 million developing the technology because it wasn't available
from existing chipmakers, said Richard Doherty, director of the Envisioneering Group, a
technology and market consulting firm, according to the San Jose Mercury News, which first
reported on the chip.
The market in chips for digital set-top boxes is currently dominated by Broadcom Corp. Microsoft's
new Ultimate TV service will offer features like digital video recording and interactive TV
programming.
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