Pace signed up to spread BT Vision

PACE Micro Technology today revealed it had won a new contract with BT to help to develop a digital TV product that BT hopes will storm the market.

The contract will see set-top box maker Pace, based at Saltaire in West Yorkshire, develop BT’s ‘next-generation’ V-box.

The personal video recorder (PVR)  will provide access for up to 40 Freeview TV channels and 30 radio channels, the ability to record an average of 80 hours of content, will have on-demand access to a library of films, TV shows, music videos and sport and a range of interactive applications.

The contract win follows BT’s previous contract with the set-top box division of Royal Philips Electronics, which Pace recently acquired in a £68m deal.

The deal saw the tie-up between the French-based division of European electronics giant Philips and Pace create the third biggest company in its market.

Under the BT contract, Pace will supply the upgraded V-box PVRs, which are capable of allowing High Definition pictures, for the BT Vision IPTV service.

IPTV allows TV content to be delivered through the technologies used for computer networks.

BT Vision offers digital TV with no annual TV contract through BT Total Broadband. It already has a V-box available in the market.

Dan Marks, BT Vision’s chief executive, said: “We are very pleased to announce this contract, working with the team that launched the first-generation V-box.

“Our medium-term goal is to secure two to three million subscribers for our BT Vision service and we are looking forward to making this vision a reality in co-operation with Pace.”

Neil Gaydon, Pace’s chief executive, said: “The hybrid model of providing the latest interactive services, alongside digital terrestrial programming, is a very compelling one. We are excited to be working with BT to bring this advanced product to market.”

The product is expected to be available from next year.