Disney, Yahoo Look at Internet TV

Walt Disney Co. is discussing making video from some of its television networks available on sets embedded with Yahoo Inc.'s Internet-TV software, people familiar with the matter said.

Such new offerings would propel Yahoo into a broader battle to use the Internet to bring premium content to digital TVs, amping up the competition with traditional cable-TV and satellite operators.

Companies including Apple Inc., Google Inc., and Cisco Systems Inc. have entered the race to combine Internet video and conventional TV in a variety of ways, including selling separate devices that attach to cable boxes and building software into cable boxes and new TV sets

Disney, for instance, is eager to test the water with new digital models for distributing video, according to the people familiar with the matter. And News Corp. is talking with companies including Samsung Electronics Co. about licensing TV shows and movies from 20th Century Fox's library for use on tablet computers and Internet-connected TVs, according to people familiar with the matter.

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