O2 to enter IPTV market in UK

December 17, 2007 – O2 is looking to replicate the success of its IPTV service in the Czech Republic by launching a similar offering in the UK before the end of next year, according to reports in The Guardian.

The operator is reportedly seeking to extend content deals that it has in place with Warner Bros., HBO and Paramount to also provide content to the UK market, following O2’s recent launch of its own broadband service in the country.  Trials are expected to start next year, and if successful full commercial launch could follow the same year.

O2 offers 55 channels and video on demand (VOD) content on its IPTV service in the Czech Republic, and recently reported that it has reached 70,000 subscribers.  Competitors in the UK will include BT, which has recently announced 100,000 subscribers for its BT Vision service, and Tiscali, which has seen customer levels for Tiscali TV drop from 45,000 to 36,000 since acquiring HomeChoice in August last year.  Orange is also expected to launch its own IPTV service at some point next year, following trials in London and Leeds and content deals with MGM and Disney-ABC International.