The over-the-top video service planned by Intel (Nasdaq: INTC) that has failed to get off the ground could end up in the hands of cable industry veteran John Malone. According to Bloomberg News, Malone's Liberty Global (Nasdaq: LBTYA) company, which operates cable systems overseas, is talking with Intel about buying the service.
Citing three people "with knowledge of the situation," Bloomberg News reported Liberty Global would use the Intel technology outside the United States.
Last month, Verizon (NYSE: VZ) and Intel were reported to be in similar discussions. Intel has also reportedly reached out to Samsung and Amazon (Nasdaq: AMZN) about partnering on the service.
Should the Intel product end up in Verizon's hands, it would probably prompt Verizon to offer a nationwide over-the-top pay-TV service, Richard Greenfield, an analyst with BTIG Research, wrote on the bank's blog.
According to a report in Multichannel News, Verizon is not interested in offering that kind of service but wants Intel's media division in order to upgrade the software it uses within its physical footprint. The report also suggested Verizon has courted John Malone's Liberty Media (Nasdaq: LMCA), a U.S. investment company that owns part of cable operator Charter Communications (Nasdaq: CHTR), to make a joint bid on the service.
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