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Telewest And Microsoft Confirm High-Speed Internet Service

Telewest And Microsoft Confirm High-Speed Internet Service

Cable company Telewest Communications has this morning confirmed that it is planning to launch a new high-speed internet access service next year (see Telewest Expected To Offer High-Speed Net Access). As expected the new service will offer access speeds up to 100 times faster than conventional dial-in modems. The venture, which is part of a strategic alliance with Microsoft, will be trialed at the beginning of next year.

The first stage of the project will be the creation of a portal website featuring content provided by software company Microsoft’s MSN network of sites. The Telewest-MSN portal will then evolve into a broadband, high-speed internet service delivered over cable modems, early in 2000.

The broadband, high-speed service will be available to Telewest franchises across the country and will allow users to have a permanent connection to the Net at a fixed monthly cost of £25-30. The speed of this connection lends itself to interactive transactions and services; Telewest promises video email, for example.

Telewest will also launch its digital cable television service in the fourth quarter of this year. Commenting on this, chief executive Tony Illsley, says: “At launch our digital television offer will consist of over 150 channels, 50 of them dedicated to Near Video on Demand movie services from Front Row. This will be followed by a suite of interactive services from the first quarter of next year, in parallel with commercial trials of full Video on Demand. By the end of next year, we will have launched games on demand, music on demand and video on demand.”

At the same time Telewest has announced its financial results for the six months to 30 June 1999. Revenue across the group increased by 14.8% to £380.2 million, whilst the pre-tax loss on ordinary activities stood at £263.8 million. Residential TV penetration rose by 2.7% points to 24.9%, whilst churn dropped by 6.7% points to 26.7%.

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Telewest Communications: 01483 750 900

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