Bell rings in IPTV service in Toronto, Montreal

Bell Canada (NYSE: BCE) has officially launched an all-digital IPTV service over fiber optic lines in parts of Montreal and Toronto with plans of touching five million homes by 2015. The service, called Fibe uses the Microsoft (Nasdaq: MSFT) Mediaroom delivery platform.

Fibe is expected to put a hurtin' on incumbent cable providers Rogers and Videotron as Bell emphasizes its presence as an entertainment company. "You can't separate entertainment and communications anymore because of broadband," said Kevin Crull, Bell's president of residential services, who called entertainment a "massively competitive business."

A Bell news release put it more directly: "Bell plans to be Canada's largest TV provider by 2015."

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