Microsoft has entered into a $500 million (E345m) with Reliance to launch IPTV and allied services in India. The IPTV service will be launched in Mumbai and Delhi by March 2008, to be followed gradually by other metros.

CEO Microsoft Steve Ballmer said: “Reliance is about to change the way consumers experience television. TV is the only digital device that has been left out of the networking revolution. Microsoft and Reliance are now making TV a ‘first class citizen’ in the connected entertainment landscape.” Ballmer said that very soon India and the US would be the largest IPTV market in the world. The service will be powered by Microsoft’s Mediaroom IPTV software.

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