Intel making headway in the service provider market with "smart TV" solutions?

After several missteps into the living room, Intel seems to have made significant progress in working with service providers and their CPE vendors. There have been announcements with Technicolor, Telecom Italia, and Liberty Global/UPC this year. Now, Reuters is reporting that Intel and Chunghwa Telecom are in discussions for a "smart TV initiative.

Intel is getting its connected CE groove on

Intel had a busy week at the Intel Developer Forum. The company showed off two smart TV-enabling products powered by the Intel® Atom™ processor CE4100 and Google TV that will come out this Fall. The Sony Internet TV and the Logitech Revue add-in box seamlessly combine access to the Internet with the TV viewing experience through the combination of Intel processors and the Google TV Android platform. The Boxee Box from D-Link was offered for pre-orders last Monday, Telecom Italia and several other companies are also expected to launch Intel® Atom™ processor CE4100-based devices soon.

In addition, Technicolor announced that it was collaborating with Intelon its latest system on a chip, the Intel® Atom™ processor CE4200, formerly code-named Groveland. The strategic collaboration will fuel Technicolor's plan to drive into the market a new generation of integrated broadcast and IP set-top boxes, enabling service providers to create exciting new multi-screen, 3D, games and online video user experiences in the home

Telecom Italia with a Hybrid OTT Set-top Box

Interesting news from Telecom Italia that they are going to deploy a hybrid set-top box (reported to be an Intel-based box supplied by Amino) that will receive broadcast DTT channels and online video.

With all of the hand-wringing going on about cord-cutting here in the U.S., I think the threat is far more serious in Europe, where free DTT service is already a barrier to growth for both IPTV and cable operators. We've heard from European operators that the hybrid set-top box supporting broadband-enabled VoD services will be a critical service in allowing them to keep at least a broadband connection in a home that doesn't desire a pay-TV subscription.

And, with Intel as part of the Telecom Italia mix, it looks like consumer electronics players may be able to take advantage of opportunities to provide service providers with a means to provide unique services to their customers. Could television manufacturers be allies for the operators? Perhaps, if we see more partnerships such as the one announced at CES between LG Electronics and France Telecom/Orange. I tend to think that the majority of hybrid deployments will involve lower-cost set-top boxes, but there's no reason to think that connected TVs, Blu-ray players, and other Web-enabled CE devices won't be able to take advantage of the VoD services being supplied over broadband connections by the service providers.

Rumbling of Mergers in Europe

Amidst the talk and challenges of a merger between France Telecom and Deutsche Telekom wireless operations in the U.K. comes the news of a possible tie up between Telecom Italia and Telefonica. Setting aside the political implications, this recent news seems to be another step in the courtship between the two behemoths. Telefonica recently completed the acquisition of HanseNet in Germany. Prior to the acquisition, HanseNet was a part of Telecom Italia's operations in Germany. It will be interesting to follow which portions of Telecom Italia's operations will be up for a merger if one were to actually happen. Coming to the political implications stated earlier, the news publication La Repubblica claims that the Berlusconi family bought into Telefonica late last year. That involves Mediaset now? This is turning out to be quite interesting.