Skype Creators Develop New TV And Video Over Internet Project

The makers of VOIP giant Skype are set to announce a new project aimed at distributing television and video over the internet.

“The Venice Project”, which claims to combine the best things about TV with the social power of the web, is said to be announced at a television conference in New York by Fredrik de Wahl, the chief executive of the project.

The system is currently in a limited beta test, with the team saying it will redefine the way people think about television, but adding that it is not a file-sharing application or a video download service.

Janus Friis, one of the creators of Skype and file-sharing system Kazaa, has said that they are creating a streaming peer-to-peer platform for television. It is understood to be a video-streaming layer built on top of the global index technology that provides the foundation for Skype.

The published terms of service suggest that it will involve users uploading and tagging content. The platform will provide a targeted advertising-supported system, sharing revenue with programming providers.

Google’s recent purchase of video sharing site YouTube (see Google Buys YouTube) presumably indicates the company’s intention to develop a similar business model.

The Venice Project however will be built on a peer-to-peer platform, which offers the potential for scalable low-cost distribution. Now owners of Skype, internet auction site eBay, could capitalise on the new system, meaning that in the future it could impact on YouTube’s market dominance.

Skype: www.skype.com