Orange has delayed the launch of its IPTV service in the UK until next year. The France Telecom-owned operator, which already runs a successful service in France, has been running a trial to around 350 homes in London and Leeds.
Orange would adopt a similar technology model to that already in place for BT Vision, using the DTT network to provide linear channels, which would be supplemented by IP-delivered on demand content.
To date only MGM and Disney-ABC have been named as content partners.
Orange has so far unbundled 40% of BT exchanges, with analysts suggesting the operator needs to bring the total up to 60% for a viable business.
Last week, BT Vision reached 100,000 subscribers, but rival Tiscali is struggling to make headway and has lost subscribers. Rival O2 also plans to launch a UK IPTV service during 2008.