BUSINESSWEEK ONLINE : MAY 29, 2000 ISSUE
INFORMATION TECHNOLOGY

You've Got Interactive TV


America Online soon will offer customers several services that combine television and the Internet. Here's how:

AOL'S SET-TOP BOX
Starting in early June, consumers will be able to snap up AOLTV set-top boxes that will allow them to watch regular TV and at the same time get AOL services such as e-mail and material off Web sites. For example, customers could watch the evening news in a quarter of the screen while they pull up articles from AOL's news channel in the rest of the screen. The set-top boxes are being made by Philips Electronics.

AOL AND DIRECTV
This fall, AOL debuts a new set-top box that will deliver AOLTV along with DirecTV's satellite television service. The box, made by DirecTV affiliate Hughes Network Systems, will not work with TV signals from other sources. The exclusive deal will help AOL target DirecTV's 8.5 million subscribers with interactive television.

AOL AND TIVO
AOL is working on a set-top box that will combine AOLTV and the programming capabilities of TiVo, a popular digital video-recording device. Thanks to TiVo's digital storage drive, the box will let AOLTV viewers record hours of television, search out and record specific types of programming, and pause TV shows as they're being watched. The companies have not announced a release date.



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