Deutsche Telekom AG is to be the largest shareholder, with 35%, in a new multimedia joint venture formed to create a new standard for video services. Other shareholders include Bertelsmann AG with 15%, Compagnie Luxembourgoise de Telediffusion, also 15%; French pay television group Canal Plus SA, the German public television broadcasters ARD and ZDF and commercial network RTL will each hold 7.5%. Around 5% is being reserved for additional investors. Called Multimedia Betriebsgesellschaft mbH, the new venture will market a decoder for pay television services such as pay per channel, pay per view, near video on demand and teleshopping. Telekom said it will be the largest shareholder in order to offset any reservations from cartel authorities that the shareholders could discriminate against rival media groups. Services and technical infrastructure will be available to all interested parties on a non-discriminating basis and equal conditions. The main aim is to create a dominant standard for set-top decoders for multimedia television programming in order to make it easier for new companies to offer programming without having to make huge investments in technology and infrastructure. The agreement is subject to approval by the European Commission, which last year blocked a similar venture called Media Service Gesellschaft mbH, which was to be operated by Telekom, Bertelsmann and media mogul Leo Kirch.
