TV Platform Technology Acquired for Basic Set-Tops

In acquiring Israel-based Peach Networks and licensing technology from United Kingdom–based NDS, Microsoft has added two technologies to its TV platform that allow cable operators to offer Internet access and interactive TV services on the digital set-top boxes already in use rather than require the latest generation technology. Peach Networks has thin-client server-side technology, a modification of Windows NT Terminal Services, that enables network operators to deliver Web browsing, e-mail, Internet chat, information services, and computer games on a TV. The NDS technology resides on the client side, on the set-top box, and provides access to enhanced TV services.

The Microsoft TV platform consists of client software for set-top boxes and server software for TV network operators. It enables “enhanced TV,” which means adding to regular TV programming such features as Internet access, e-mail, and instant messaging; interactivity, including e-commerce support and participation in TV games; and personalization, including digital video recording (DVR) capability and Electronic Program Guides (EPG).