Microsoft Unit's Internet TV Gets Wider Audience By Yuko Inoue
MAKUHARI, Japan (Reuters) - Microsoft unit WebTV Networks says its service which allows people to surf the Internet on their television sets reaches out to a poorly served area of the market -- women and the computer-illiterate.
WebTV Networks president Steve Perlman said on Wednesday the Internet television service it offers in Japan had an "unusually high" percentage of women among its users -- about 35 percent.
And only about 20 percent of them had personal computers at home.
"WebTV has created an Internet value proposition that's not for high-tech users but rather is for the average consumer," Perlman told a news conference after making a keynote speech at the four-day Comdex '98 convention in Makuhari, near Tokyo.
"WebTV has a profound impact not on the PC industry but on society," he said.
WebTV was purchased by Microsoft last year for $425 million as part of the software giant's strategy of reaching more consumers by melding the personal computer's capabilities with television's ease of use and mass acceptance.
Hoping to repeat the success it has had in the United States, WebTV launched the service in Japan in December, allowing Japanese consumers to surf the Internet using their TV sets and telephone lines at home. It has just begun testing in Britain.
Perlman did not say how many subscribers the firm had in Japan, but WebTV officials said they have not changed their target of 150,000 by the end of this year.
He said Tuesday's announcement of a digital TV tie-up between Microsoft and Sony would strengthen its own relationship with Sony, which produces set-top boxes for WebTV.
"We view this announcement as furthering our relationship that we have with Sony," he said.
"We are looking forward to working with Sony to continue to extend the WebTV's system and begin to incorporate some of the digital TV capabilities they will be developing together with Microsoft."
Microsoft and Sony said they would work together to link PCs and consumer-electronics devices, moving closer on technology standards for digital TV and other products.
WebTV's subscribers had grown to 300,000 by the end of December in the United States, despite scarce supply of the needed set-top boxes.
Perlman said the company would enhance its service in Japan by the end of June, adding capabilities such as still picture and audio content to electronic mail.
The company also plans to launch a so-called Plus Internet television service in Japan by the end of this year, Perlman said.
The Plus service provides picture in picture" display and unified remote control, allowing users to switch easily from television to the Internet. |