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To: VidiVici who wrote (39724)	4/9/1999 4:59:00 PM
From: John Rieman	Respond to of 50808

What makes TV interactive??????????????????????????????????? inside-cable.co.uk 7th April 1999 WHAT MAKES TV INTERACTIVE ? Or use your browser BACK button to return to the previous page. NTL's launch of Interactive TV last week created a flurry of interest in the press, most of which failed to spot that, at this stage, the service is little more than a re-launch of NetChannel, the service which NTL rescued from collapse in 1998. Far from being interactive TV this service might be better described as interactivity on TV – begging the continuing question of what does ‘interactive TV' mean. In the absence of any generally accepted definition the hyperbole accompanying NTL's launch can be excused – after all they are delivering a first. So what do we mean by interactive TV ? The definitions which currently exist in general usage include: Responding to an on-screen TV programme to influence its outcome Making choices within a TV programme to obtain a different viewpoint Answering questions contained within a TV programme to obtain a personal ‘score' Confirming an individual choice of TV programme for billing purposes (eg. pay-per-view) Interacting with data which accompanies a TV programme to gain additional information during or after the programme Completing an on-line transaction directly related to content from a TV programme during or after the programme Calling up on-demand an individual choice of TV programme (video-on-demand) While these are all different functions, some of which are only achievable using specific technical systems, none of them applies to this launch. NTL's approach has been to widen the range of definition by including: Themed material seen on a TV can be regarded as a ‘TV channel' Within an interactive ‘TV channel' the concept of TV programming can be re-examined Emulating the Internet World Wide Web on a TV is interactive TV Even video games played on a TV can be called interactive TV While it is tempting to apply some purism to the search for a definition there is, frankly, no reason why the NTL approach should not be accepted; except that it seems to be designed to meet the short term commercial needs to get a new, and rather fragile concept established in the marketplace. WebTV launched in the USA three years ago is a similar product. It was expensively acquired by Microsoft – the price paid reflecting the worldwide potential which was perceived. Sadly for Microsoft (why sadly ? – they can afford it!) it seems that the Web TV concept is not going to achieve a major take-up in Europe. Recent trials in the Netherlands failed to raise any interest, NetChannel failed in the UK and WebTV has not moved beyond a limited trial anywhere in Europe. It competes with the falling price of PCs, falling costs of telephony, and falling costs of Internet access, all of which militate against a service which, judging by NTL'' launch, needs to be priced in the 15 pounds per month range. So why are NTL doing it ? NTL has successfully built a portfolio which includes a national digital infrastructure, distribution networks, and licences to deliver services. It is now getting involved in services themselves and in the digital world the bets are all on interactive services being major profit centres of the future. This ‘vertical integration' (end-to-end service for each individual customer) is being matched by a ‘horizontal' diversity at the point of access to service (we can deliver it onto whatever kind of screen they want it). Thus the launch of a service package of ‘interactive TV channels' delivered over a telephone line to a TV is just the first of these various diverse methods for the delivery of the services which NTL is launching. Interactive digital cable comes later this year, high speed modem delivery may be sooner, digital radio delivery is a future possibility, and digital terrestrial TV is promised too. Of course they will all look a bit different, some of the functionality may be different too, but essentially the services offered will be the same, backed by the same national brand names. Do not forget that Microsoft is an NTL partner – a recognition of shared visions. It raises the question of what delivery methods, if any, is this entrepreneurial (and visionary) company not involved in. There is a significant one – mobile cellular. With third generation systems capable of delivering ‘multimedia' due to be licensed in the UK during the next twelve months a bid involving NTL seems a good bet.