UK satellite TV operator BSkyB, part of the Murdoch media empire, is to offer its premium customers movies and sports coverage through broadband internet services.
Internet TV services are seen as the next major commercial battleground for television companies. Industry observers have been expecting Sky to exploit the growing potential of broadband to support its satellite subscription service.
The company's ceo, James Murdoch believes the offering will help achieve his target of 10 million Sky subscribers by 2010. The figure currently stands at 7.7m.
The service, to be launched in the fall, will compete with video-on-demand providers and DVD rental companies. The sports coverage will consist of highlights, interviews and news, but not whole games or matches. The movie service will offer a mix of 200 new and old films from the Sky Movies channels.
Subscribers will need a computer with a broadband connection, which Sky is not planning to offer, but it is likely the company will extend the service as high speed internet connections become more popular.
Data sourced from Telegraph.co.uk; additional content by WARC staff