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September 13, 1995

OLIVETTI TELEMEDIA TEAMS WITH US WEST FOR CABLE

By CBR Staff Writer

US West Inc’s International arm is joining forces with the Telemedia unit of Ing C Olivetti & Co SpA to design, build and operate regional cable television networks in Italy. It told Reuter that initial plans would imply an investment of a whopping $4,000m to $5,000m. The two, in a joint venture company called Videostrada and 51% owned by Olivetti, will be looking to lay cable past some 5m homes across Italy, and expect to start competing for licences from early next year. Videostrada will seek to co-operate with local administrations to offer multimedia and interactive services as well as television. Olivetti reckons the venture is complementary to its alliance with US West Baby Bell rival Bell Atlantic Corp to build a national telecommunications net.

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