Cable & Wireless Communications to offer interactive services

Cable and Wireless Communications (C&WC) has announced it will offer a raft of interactive services following the launch of digital cable television next year.

The UK's largest cable television and telephony operator has struck deals with Barclays Bank, British Airways, Littlewoods Home Shopping Group, Granada Media Group, Associated New Media and ITN in a move which will challenge British Interactive Broadcasting (BIB).

BIB - which recently gained the approval of the European Commission's competition authority - is backed by BT, BSkyB, Midland Bank and Matsushita, and also promises to offer interactive services, initially to BSkyB's digital satellite channels.

The aim of both the C&WC and BIB ventures is to bring services such as home shopping and banking to homes via television sets.

C&WC chief executive, Graham Wallace, explained the reason for the company's strategy. "The success in recent years of remote retailing, from phone banking and teletext to mail order and home delivery services, is clear evidence of the consumer appetite for greater flexibility in the purchasing of services and products, and for accessing information," he said. "Interactive retailing and access to information services through the television is a natural extension of this powerful consumer trend."

C&WC is also touting the cable modems which will form an essential part of its digital TV set-top boxes as the best method for accessing the Internet, as their speeds will far surpass those of traditional modems and ISDN.