Two consortia picked to lead Internet-based TV service in S. Korea

Posted on : 2006-10-13 21:30 KST Modified on : 2006-10-13 21:30 KST

Two consortia have been chosen to spearhead the test operation of the much-awaited Internet-based broadcasting IP-TV service in South Korea before this year, the government said Friday.

The consortia, each led by KT Corp. and Daum Communications Corp., will start their test service during November-December, the Ministry of Information said in a statement.

The two were selected from among six consortia which had applied for the project being pushed by the government as a new cash cow for South Korea's economy.

IP-TV is the latest technology that sends television signals over a high-speed Internet connection instead of cable or satellite. Government officials expect the next-generation service would create thousands, or tens of thousands of new jobs.

The launch of the service has been delayed for years, as the government and related industries have failed to agree on how to regulate the new medium that is said to straddle the line between communications and broadcasting.

In August, the nation's telecom and broadcasting authorities came to an agreement to launch the test service within this year, clearing a major obstacle to the project in South Korea, but they failed to follow through with it.

Details of the service, including the timeframe of its commercial launch, have yet to be announced, but experts expect the service to be available in the first half of next year.

The KT-led consortium includes five communications companies including SK Telecom Co., Hanarotelecom Inc. and four broadcasting firms along with multiple contents providers. The Daum-led consortium consists of 10 companies including the nation's major broadcasting firm KBS and Yonhap News Agency.
Seoul, Oct. 13 (Yonhap News)

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