Tiscali eyes Homechoice for IPTV

Today the world, tomorrow Stevenage

European ISP Tiscali is in talks to acquire the British IPTV service Homechoice, according to reports.

Privately owned by Video Networks, Homechoice already offers triple-play services in the UK, with broadband, phone and TV bundles starting at £14.99 per month. But its appeal has been limited by only being able to offer its services in inner London and Stevenage.

Homechoice doesn't currently offer a mobile phone service as part of the deal, a fact highlighted by the recent arrival of Carphone Warehouse and Orange with "free" broadband bundled alongside mobile contracts. More urgently, Sky has undercut both, offering free broadband to TV subscribers, and doesn't expect to break even on the deal for four years.

Chris Larson - Microsoft's fourth employee - took control of Homechoice parent Video Networks three years ago in controversial circumstances.

The deal, reports the Telegraph, values Homechoice at £100m. ®

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