Internet via TV - Now Available in Israel Too

Actvnet plans to launch the new service in the Israeli market at the end of the month. Bezeq, which can’t enter the Internet business through the front door, is already interested.

Actvnet, a Shani Information Technologies company, is scheduled at the end of the month to launch a new service: Internet via television. The product, known world over as WebTV, is based on making the television an Internet channel for all practical purposes, by connecting a pippin converter developed by Apple. The goal is bringing Internet into the home via the user-friendly television, consequently circumventing traditional fears of computers.

The Pippin device integrates a CPU with a CD ROM. On the one hand it connects to the television, making the television interactive, while on the other hand, via a modem, it connects to an Internet service provider. The converter is supplied with a remote control and a cordless keyboard. In the US and Europe, Pippin will be marketed only as an appliance, without additional services, and each consumer will connect his personal television set and Internet service provider. Actvnet, which received the Israeli franchise, will market the device as part of an overall service package.

Actvnet services will include, in addition to the Internet connection, use of a CD ROM for any purpose, including games, connection to various service centers such as banks and insurance companies as well as purchasing in a virtual mall which the company is currently establishing. The mall is being established via connections with dozens of stores and service providers, from neighborhood stores and supermarkets to travel agents, clothing stores, electrical appliance stores, and including stores abroad which will deliver products to Israel.

Products may be chosen off-line without a telephone connection to the virtual mall. After making a choice, the consumer will connect to the mall using the modem and transmit lists. there is no need to enter a credit card number as it is already on file with the company. The idea is to save connection time and decrease the cost of the service. Actvnet also plans to connect with a company that provides telephony services via the Internet such as VocalTec, which would enable phone conversations through the television, and, with the aid of a small camera, even seeing the person with whom the customer is speaking.

The device will be given to customers for a deposit of $800 which will be returned to the customer if service is ceased. The Internet connection will cost NIS 75 monthly for 20 hours, or NIS 19, if the Internet connection is made through another service provider. Another option will be receipt of the device in exchange for a commitment to make NIS 400 in purchases monthly via the virtual mall, or NIS 4800 annually.

The company is in preliminary negotiations to cooperate with Bezeq. This would enable Bezeq to circumvent the Telecommunications Law and enter the Internet and telephony business via the television, essentially in violation of the company’s current license.

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