BSkyB and Roku to create set-top box

British Sky Broadcasting and internet TV firm Roku plan to create a set-top box to distribute to subscribers of its internet-television service.

The box will connect to TVs, enabling owners to view films, sports and other content from NOW TV, the digital pay on demand launched by Sky in July. This has been seen as a response from increased competition from LOVEFiLM and Netflix.

Sky, along with parent company Newe Corp, invested in Roku as part of a major US$45m funding round in the summer.

NOW TV is available subscription-free for £8.99 a month.