WSJ.com - Comcast Will Use Microsoft System For Digital TV: " Microsoft Corp., which has been struggling to break into the television business for over a decade, took a big step in that direction by announcing a deal to license its software to Comcast Corp., the country's largest cable-TV company.
Comcast said it would deploy software developed by Microsoft TV in up to five million of its digital set-top boxes over the next 2 years.
Foundation Edition was developed to work on the millions of set-top boxes already deployed. While the boxes have less processing ability than was originally anticipated, the Microsoft software gives cable-TV operators the ability to add richer graphics, interactive games and other features -- including ads -- to existing program guides.
Comcast committed itself to helping Microsoft break into the cable-software business when it acquired AT&T Broadband in late 2002. At that time, Microsoft agreed to convert $5 billion in AT&T debt into Comcast equity. In exchange, Comcast agreed to launch Microsoft software in 25% of its systems, if certain conditions were met."
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