SBC selects suppliers for TV set-top boxes

Iria · Aug 18, 2005, 01:03 PM

WASHINGTON (Reuters) - SBC Communications Inc., the second-largest U.S. telecommunications company, said on Thursday it had selected Motorola Inc. and Scientific-Atlanta Inc. as suppliers for a key part of its upcoming television service.

SBC said Motorola and Scientific-Atlanta would supply the set-top boxes for its service, which it expects to launch broadly next year. The boxes will likely include digital video recorder technology and run on Microsoft Corp. software.

Terms of the contracts were not disclosed. An SBC spokesman said the equipment was part of what SBC has called "success-based" costs, estimated at about $1 billion over the next few years.

In addition to those costs, SBC has committed to spending $4 billion through 2008 to upgrade its network and launch its service, to fully compete with cable companies offering a bundle of telephone, television and data services. SBC has said it plans to offer its service to 18 million homes.

SBC said Motorola and Scientific-Atlanta would have roughly equal market share for the devices, with Motorola boxes launching first.
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Source: Reuters

Aug 18, 2005, 01:03 PM	#1
Iria DriverHeaven Extreme Member Join Date: Apr 2004 Posts: 7,275 Rep Power: 74	SBC selects suppliers for TV set-top boxes WASHINGTON (Reuters) - SBC Communications Inc., the second-largest U.S. telecommunications company, said on Thursday it had selected Motorola Inc. and Scientific-Atlanta Inc. as suppliers for a key part of its upcoming television service. SBC said Motorola and Scientific-Atlanta would supply the set-top boxes for its service, which it expects to launch broadly next year. The boxes will likely include digital video recorder technology and run on Microsoft Corp. software. Terms of the contracts were not disclosed. An SBC spokesman said the equipment was part of what SBC has called "success-based" costs, estimated at about $1 billion over the next few years. In addition to those costs, SBC has committed to spending $4 billion through 2008 to upgrade its network and launch its service, to fully compete with cable companies offering a bundle of telephone, television and data services. SBC has said it plans to offer its service to 18 million homes. SBC said Motorola and Scientific-Atlanta would have roughly equal market share for the devices, with Motorola boxes launching first. __________ Source: Reuters