Microsoft powers Reliance IPTV service in India

MOVING HIGH: Reliance Communication will invest $500 million in this venture.

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New Delhi: It is being considered as a breakthrough step by Reliance Communication. The company along with software giant Microsoft is launching IPTV or Internet Protocol TV in India.

Reliance Communication will invest $500 million in this venture. The technology will be first launched in Mumbai and then Delhi in 2008.

IPTV is a technology that makes TV interactive and enabled the user to connect their Internet to TV.

Thus you can record programme, you can play games powered by X box 360 technology.

The announcement was made by Anil D Ambani, chairman, Reliance Communications, and Steve Ballmer, chief executive officer of Microsoft.

Reliance Communications shall have the exclusive deployment right for the platform in India.

"As consumers today are becoming more sophisticated, they are demanding more compelling and personalized entertainment to suit their individual needs and preferences," Ambani said.

Ballmer said, "Reliance is about to change the way consumers experience television."

The IPTV service will also target an area with a great degree of ambiguity, as far as TV content and advertising goes in India.

There is, at present, no clear indication of how much of the content and advertising is really reaching the target audience and what the returns for the investments are. A two-way interactive medium can rectify this.

(with agency inputs)