Opera Software says its browser technology, along with Linux, can reduce the price of set-top boxes (STBs) in the promising interactive television (iTV) market. Opera claims that Linux/Opera STBs can be sold at a third of the price of systems based on Microsoft operating systems, which typically cost iTV operators $300. The company also says that lowering STB prices is vital if the iTV market is to meet analyst projections.

Opera says its browser technology saves operators money because its HTML presentation engine not only renders content, but can execute the majority of navigational functions. Operator content can be inexpensively produced in HTML, rather than proprietary standards, and expensive middleware can be eliminated.

The industry is ready to provide cheaper STBs, according to Opera. LechValley, a designer of IP-based STBs for embedded Java Network Technology (JNT) systems, says that volume orders under $100 per unit are possible due to the combination of Linux and Opera.

Analysts say $100 STBs could really help the iTV market meet annual sales projections of 8 million IP/DSL set top boxes by 2007. Says Michelle Abraham, senior analyst, In-Stat/MDR, “Previously we have said that for mass deployment of IP/DSL set top boxes to occur, prices need to be less than $200. Pricing below $100 is even better for operators' business case for launching video services.”

Dennis Thompson, chairman of the TV Linux Alliance, agrees that Linux and Opera provide an economical business model. “Using Linux-based alternatives together with open standards produces economical platforms, therefore delivering the benefits of open standards to everyone in the value chain,” says Thompson.

“The high price of running Microsoft inside set-top boxes is stopping the iTV market from taking off,” says Jon S. von Tetzchner, CEO, Opera Software ASA. “European and Asian operators are now realizing this, and looking for alternatives.”

 
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