Intel about to quit TV
October 31, 2013
Intel seems to have decided to give up on its ambitious OTT TV venture, OnCue, frustrated with the lack of cooperation from content providers, which, in turn, has undermined confidence in the venture from new CEO Brian M. Krzanich.
The NYT reports Intel is in talks with Verizon which may lead to a partnership but is more likely to see the telco buy the venture.
Earlier this year Intel executives privately acknowledged that they would fall short of their widely publicized goal of introducing OnCue to the public in time for Christmas.
OnCue could mean Verizon can sell a television service across the United States through existing broadband pipes or through its Verizon Wireless business. Its current eight-year-old television subscription service, FiOS, has five million subscribers and is growing steadily, but it is available in only about 15 percent of American homes because it is delivered over Verizon’s fiber-optic network.
Verizon is in the process of gaining full ownership of the wireless unit, having announced last month a $130 billion acquisition of Vodafone’s 45 percent stake.