O2 to launch internet TV in Britain after Czech trial proves successful



O2 is to trial an internet-based TV service next year after trialling a similar product in the Czech market, a test bed for the mobile phone company’s wider ambitions.

The Czech IPTV launch has proved a big success for O2 and its owner, Telefonica, since it launched in September 2006, attracting 70,000 customers so far. It offers more than 50 channels with content from leading producers including Sony, Disney, Warner Bros and HBO, the US TV producer behind The Sopranos.

O2 has been expected to launch IPTV services in the UK after it snapped up the small broadband player Be, which has the fastest network in the country. Although O2 has launched broadband services, the capacity of the Be network would allow for a robust IPTV service to be carried to customers.

Delivering TV over the internet has become a key customer retention tool for companies such as BT and Tiscali in the UK as customers start sourcing more services from one supplier.

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