MS, Scientific Atlanta Team on IPTV

Microsoft and Scientific Atlanta, one of the largest manufacturers of cable set-top boxes, announced on Monday that the companies would begin to work together on boxes for IPTV. The partnership would be key to the rollout of IPTV by SBC Communications.

Scientific Atlanta would manufacture the set top boxes, and Microsoft would supply the operating system to be used on the boxes. The box would allow a user to access programming, as well as multimedia content over a network connection.

"This collaboration on IP set-tops combined with our IPTV software and advanced encoding technology initiatives already underway for SBC's Project Lightspeed provides additional momentum to the drive toward the compelling service and revenue opportunities that are possible with IPTV," Phil Corman, director with Microsoft's TV Division said.

SBC expects to begin its IPTV rollout by the end of the year or early 2006. Research shows the industry is expected to grow dramatically over the next 3 years, from 2 million in 2004 to over 25 million by 2008.

Microsoft is also working with Motorola, Scientific Atlanta's biggest competitor, as well as with Verizon on its planned FiOS IPTV product.