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BT is trialling TV-cum-video-on-demand over broadband. It is hooking up with Freeview, the UK's digital TV service which provides up to 30 free digital TV channels and more than 20 digital radio station. The "BT Freeview Plus" service will enable punters to watch these channels and to pay for video-on-demand content by using their broadband connection.

The telco has already won the backing of a number of content providers including the BBC, and is trialling the service among employees.

BT exec Andrew Burke told The Sunday Telegraph: "BT absolutely understands that broadband services are the future. This is the next step in the delivery of broadband Britain. It is right up our street in terms of the technology and the relationship with the consumer."

BT is not alone in thinking that enhanced digital services are the way forward. In July, Wanadoo unveiled a new box of tricks which it claims will eventually become the hub for a whole range of digital entertainment for the home. When up and running, Wanadoo's LiveBox will supply Voice over Internet Protocol (VoIP), TV on demand and online gaming.

In May, Video Networks Ltd (VNL) switched on its new broadband and digital TV service in London. It has brought forward plans to expand its broadband TV service following recent falls in LLU (local loop unbundling) costs. ®

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