AT&T Quits Microsoft Venture

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“Suggesting that sophisticated interactive television will remain a distant dream in the United States, AT&T’s broadband division has dropped its commitment to an advanced set-top cable box that was supposed to showcase Microsoft’s interactive television software.”

Not only AT&T is way cheaper than it was when Microsoft invested $5B in them, but now T sues MSFT and drops commitment to the set-top box roll-out. What exactly is positive in this partnership I wonder, if it can be called a parternship at all at this point. (BTW, I worked at both corporations, I guess I had a thing for monopolies).

06/12/01 update: Microsoft Is Ready to Supply a Phone in Every Computer. Do you invest $5B in a company you want to destroy the market of? Has Microsoft decided that AT&T (and other telcos) have to switch to moving around bits instead of voice, or perish? From Microsoft’s point of view, you can’t do anything with an analog voice conversation. It doesn’t go into the set of productivity and groupware software they want to sell. It cannot be stored for further archiving, processing or searching. The plain old telephone just doesn’t belong to the digital lifestyle. It has to go the way of the telegraph, along with pens and link.

06/15/01 update: Microsoft’s Got the Phone Companies’ Number.

06/28/01 update: AOL, AT&T to develop wireless service.

07/17/01 update: AOL Has a Message for Local Phone Companies ; Windows XP could draw Net phone companies into battle.

08/24/01 update: Microsoft rival Liberate signs TV deal with AT&T subsidiary.

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