14 DAY TRIAL // Intel tried and tried to get cable operators and carriers sold on its OnCue TV service, which basically allows customers to choose exactly what channels they want, but it failed, so it's selling the assets associated with it to Verizon.
This has been a long time coming, and it means that the dream of consumer-dictated IP TV won't come true after all.
Sure, Verizon will integrate the IP-based TV services into its FiOS video TV offering, but while interactivity and cross-screen ease of use will make it there, consumers won't get to choose what channels to buy and pay for.
That was the deal breaker for Intel really. Cable operators don't want to give up channel packets, because then they would be left with certain broadcast channels that no one buys. Or at least very few people.
A shame really. Intel's dream was of a set-top box with an integrated camera that recognized the users and provided relevant programs and services.
Customers would have been able to enjoy live television but also various programs and TV shows aired in the past. Renting videos and other services would have made the list too. All-in-one was Intel's game.
At least Verizon is keeping the reach and discovery capabilities. Also, ongoing deployment costs should go down as well.
"We're incredibly proud of what we've achieved. Intel provided us with the technological know-how and resources to develop products and services that will fundamentally change the way we experience TV, and now Verizon gives us access to the marketplace and the ability to scale. It's the next logical step, and we're excited about the road ahead," said Erik Huggers, corporate vice president and general manager of Intel Media.
Verizon is buying all intellectual property rights and other assets that enable Intel's On-Cue Cloud TV. Pretty much all of the 350 people that were part of Intel's unit will get job offers too, without having to move from Santa Clara, California. The current management team will even stay in charge.