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Philips and Microsoft announce cooperation to encourage adoption of enhanced television


Johannesburg, 20 Sep 2000

Philips Electronics, one of the world`s largest set-top box suppliers, and Microsoft Corporation, a leading supplier of Enhanced Television software, today announced agreements designed to encourage the cable and satellite industry as well as consumers to adopt Enhanced Television products and services.

Under the agreements, Philips will license Microsoft TV software and collaborate with Microsoft on the development of a range of set-top boxes based on the Microsoft TV software and Philips Nexperia (based hardware platform. The first of these Philips set-top boxes running Microsoft TV are expected to be available in 2001. MSTV customers who want to deploy a Philips set-top box earlier will be offered a migration path.

The Philips/Microsoft Enhanced TV platform will support a wide range of emerging product categories, including:

  • Interactive TV: Programming enhanced with interactive content for richer viewer participation

  • Personal TV: Services including hard-disk based digital video recording, favorite channels and customized electronic program guides that enable viewers to personalize their TV experience

  • Internet on TV: Access via the television to Internet browsing and services

The set-top boxes will enable network operators to offer consumers a broad array of Enhanced TV features and services, such as Personal Video Recording (PVR), E-Commerce, online games, interactive television programming, instant messaging, Internet browsing, E-mail, electronic programming guide (EPG), home networking/residential gateway, and Pay-per-View/Video-on-Demand capabilities.

The companies have agreed to work together to fulfill specific needs of network operators and expand the potential of Enhanced Television worldwide based on open standards. Areas of cooperation will include Home Networking and Residential Gateway services. In addition, under the agreements, Philips and Microsoft will establish identical laboratories at each company to develop and test new Enhanced TV implementations.

"Partnerships are more important in our industry than ever before," said Rob van Oostenbrugge, president and CEO of Philips Digital Networks. "To offer consumers the right combination of hardware and software, services and applications, we must put the right alliances in place. Microsoft, with its solid expertise in software and services, is a natural partner for Philips. Together, we are laying the foundation for a new generation of broadband services via Internet-enabled and intelligent appliances for the mass market."

Philips licenses Microsoft TV technology

Philips will license Microsoft TV client software, which supports a complete broadband Enhanced TV experience for consumers and is for use in digital and analog set-top boxes and TV devices.

Philips will implement the Microsoft TV software in its Nexperia-based set-top boxes and develop a series of products for both the retail and network operator environments. Under the terms of the agreement, Philips will be able to offer a Microsoft TV license with its set-top boxes as part of an integrated hardware/software package for network operators.

Philips and Microsoft lay foundation for mass market

Today`s announcement underscores the shared vision between Philips and Microsoft to accelerate the mass-market availability of exciting new broadband TV services through the support of open standards. By supporting standards like HTML, XML, DVB and DOCSIS, the two companies are helping to ensure that other key providers, including cable operators, broadcasters, content developers, application developers and service providers can easily take advantage of the new opportunities broadband TV networks will enable.

"Microsoft and Philips are working together to bring enhanced TV to consumers," said Jon DeVaan, senior vice president, Consumer Group at Microsoft. "Microsoft and Philips make a powerful enhanced TV partnership. With Philips` proven track-record in the consumer retail industry, where one in two households owns a Philips product, and Microsoft`s expertise in standards based Internet technologies we are poised to bring enhanced TV to consumers around the world."

Philips and Microsoft have worked together to launch new television set-top box concepts such as Internet Television and other set-top box deployments based on a long-term agreement between Philips and Microsoft WebTV Networks. In addition, Philips and Microsoft collaborate in a variety of other product areas ranging from Home Networking to Streaming Media.

Philips set-top box platform

Philips is a leading provider of digital set-top boxes capable of providing the latest enhanced television services. Through its commitment to MPEG-4 media streaming, hard-drive storage, multimedia processing and in-home networking, Philips is driving the future of television by transforming the set-top into a residential gateway for broadband-based multimedia services.

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Philips

Philips Digital Networks - a business group of the Philips Consumer Electronics division - is a world-leading provider of advanced digital system solutions for Service and Network providers in broadcasting and video distribution. Philips Digital Networks offers product and service solutions for customers in both the professional side of the distribution chain, as well as for consumers to use in the home. In the consumer domain, Philips Digital Networks is a leading provider of set-top boxes for digital television and Internet delivery, as well as personal video recording. A pioneer in the development of Internet-enabling technologies, Philips Digital Networks is playing a key role in the introduction of MPEG4-based media streaming solutions. The broad professional product portfolio includes a comprehensive range of television cameras, studio and compression equipment, conditional access systems and transmission systems for broadband cable networks to deliver a full array of interactive services. A flexible customer support program and active involvement in the bodies setting tomorrow`s entertainment and information delivery standards makes Philips a natural partner for the digital broadcast era.

Editorial note: Product and company names used herein are trademarks or registered trademarks and are owned by the companies mentioned.

Royal Philips Electronics of the Netherlands is one of the world`s biggest electronics companies and Europe`s largest, with sales of $33.5 billion (EUR 31.5 billion) in 1999. It is a global leader in color television sets, lighting, electric shavers, color picture tubes for televisions and monitors, and one-chip TV products. Its 232,433 employees in more than 60 countries are active in the areas of lighting, consumer electronics, domestic appliances, components, semiconductors, medical systems, and IT services (Origin). Philips is quoted on the NYSE (symbol: PHG), London, Frankfurt, Amsterdam and other stock exchanges. News from Philips is located at www.news.philips.com

Microsoft TV

The Microsoft TV platform is a comprehensive software solution for the television industry that makes television more useful, fun and engaging for consumers and creates significant new economic opportunities for network operators and their suppliers of programming, hardware and software. The client software, Microsoft TV Basic Digital for current-generation set-top boxes and Microsoft TV Advanced for advanced set-top boxes, operate a range of TV-centric appliances from set-top boxes to integrated televisions.

Microsoft TV Server and Microsoft TV Access Channel Server are a pair of server software products that offer network operators the tools to provision, manage and operate a large-scale, commercial-grade enhanced TV service. Windows Media Technologies are an integral component of Microsoft TV Advanced.

The Microsoft TV platform supports worldwide digital TV broadcast standards, including DVB, ATSC and ARIB. It also supports commonly used Internet standards such as HTML, JavaScript and Dynamic HTML, as well as all interactive content authored according to the Advanced Television Enhancement Forum (ATVEF) specification.

News and additional information on Microsoft TV can be found at http://www.microsoft.com/tv

Microsoft

Founded in 1975, Microsoft is the worldwide leader in software for personal and business computing. The company offers a wide range of products and services designed to empower people through great software, any time, any place and on any device.

Note to editors: If you are interested in viewing additional information on Microsoft, please visit the Microsoft home page at http://www.microsoft.com/presspass/ on Microsoft`s corporate information pages.