Telecom Italia Readies Internet Set-Top Box Service

Telecom Italia [NYSE:TI] has announced plans to offer access to the Internet using set-top box (STB) technology.

To get the mass-market project rolling, the Italian telecommunications carrier has contracted with Teknema for its Internet STB technology, which will be marketed under the PlayWeb brand name.

According to Teknema, trial sales of a PlayWeb STB have been made through Insip retail outlets across Italy over the last few months, and have proven that there is a real need for an easy-to-use, affordable device to access the Internet.

Teknema says that its STB allows users to access the Web and to exchange e-mail using a standard TV and a telephone line (plus modem).

According to Teknema, because its STB is based on established standards and does not require a proprietary infrastructure, the Teknema hardware and software in the unit provides a low-cost system for home Web users.

The Teknema STB chosen by Telecom Italia for its Internet STB service includes an infrared remote control and keyboard as standard. Other features include a smart card reader to allow users to make purchases using the debit or credit card across the Web.

Teknema already sells its STBs to original equipment manufacturer (OEM) customers worldwide. Distribution in Italy for Telecom Italia is being handled by Aethra Telecomunicazioni, an Italian company specializing in videoconferencing and telecommunication products.

Teknema's Web site is at http://www.teknema.com.