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February 15, 2005

Microsoft sits at the heart of a five year transformation that should turn your local bell into a TV provider (provided they aren't Qwest). It's one of the most significant shifts in telecom history, with each bell attempting the transformation in a slightly different fashion.

Video via IP was the star of last year's CES, and should be an even larger player in Congress this year. One of the first major bills proposed this session was the "Advanced Internet Communications Services Act", which aims to put the bells on equal footing with the fairly unregulated cable providers.

"DVDs will remain the predominant mechanism for [film] delivery for the next five years," claims one Netflix executive, when asked by the San Francisco Business Times to chime in on SBC's TV plans.

An analyst recently predicted that within five years, SBC could gain 14% of the pay TV market in areas it deploys fiber (of course another predicts they'll quit the TV business by 2007). On a recent conference call, SBC told us that within five years, they hope to be the number 2 video provider in those areas.

Via Broadbandreports