4-Aug-99

British Telecom To Launch Video-On-Demand

The United Kingdomís first true video-on-demand service will be launched in October, using British Telecomís national phone network. Video Networks Ltd., a private company, will offer the service, which is a outgrowth of British Telecomís work in upgrading its entire network for high-speed digital services, including Internet access and video-on-demand. The new asymmetric digital subscriber lines (ADSL) technology will be introduced first in London, then in eight major cities by March 2000. Six million homes are targeted for the service. Video Networks plans to rollout full commercial service offering 5,000 movies and 400 music videos over the phone lines, accessed via a decoder that the company will rent to subscribers for around $25 a month. Individual movies will cost between $3.20 to $5.60.