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MSTeams Up With Sky Life To Develop Xbox based Sat

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Microsoft Teams Up With Sky Life To Develop X-box-based Satellite TV Receiver

Wednesday, August 25, 2004
By Sung Ho-chul


Software giant Microsoft has agreed with Sky Life, a satellite TV broadcaster of Korea, to join forces to develop and supply integrated set-top-boxes, featuring functions of X-box of Microsoft, satellite TV broadcast receiving set-top-box, and personal video recorder (PVR).

An executive of Microsoft Korea said on Tuesday, "Upon Sky Life's proposal of a joint business model to develop and distribute integrated set-top-box, combining satellite TV broadcast receiving gear and X-box, the company is now in talks with the satellite broadcaster for collaboration after having reported to our head office."

"We agreed with Microsoft Korea to send a detailed business proposal by early next month. We have already received information on X-box from that company," said a manager at Sky Life.

The new integrated set-top-box to be developed by the two partners will primarily be installed with a satellite TV broadcast receiving system in Microsoft's ‘Media Center Edition 4 X-box ('X-box Extender' in another name)', which it introduced in the United States early this year.

For this collaboration, Sky Life plans to form a task force team soon, while Microsoft Korea will assign the task to its media and entertainment business division installed last month.

Microsoft Korea anticipates that the new integrated set-top-box will be developed by the first quarter or the second next year. Sky Life also targets to roll out the integrated set-top-box in the latter half of next year at the latest.

Industry observers believe the collaboration between the two companies came as their interest conformed with each other. Microsoft is attempting to break into broadcasting service market capitalizing on its technologies, including broadcasting solutions, codec and set-top-boxes. Sky Life is seeking to expand its subscriber base by offering differentiated service in alliance with Microsoft Korea.

"The company is considering every possible collaboration model in this communication-broadcasting convergence era, and the collaboration with Microsoft is formed in the framework of this strategy," said a manager at Sky Life.

The two partners plan to meet early next month to discuss matters of collaboration based on the proposal of Sky Life. "We are arranging the visit of Kimberly Teel, Vice President for media & entertainment business of the head office, to Korea in early October. And Microsoft's position toward partnership relations with Sky Life is expected to be outlined during his visit in Seoul," said a manager at Microsoft Korea.

"X-box is initially designed to evolve into a home server rather than a game gear, and Microsoft is seen to aim at boosting X-box as a home server by adding functions of receiving TV broadcast," said an expert.

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