Philips Semiconductors expects to launch an advanced programmable digital television system that will challenge that of the major players later next year. The system will be based on the company’s TriMedia multimedia processor and will support all 18 video formats specified by the Advanced Television Systems Committee (ATSC). The newly-formed Philips DTV project group will be based in Sunnyvale, California. The DTV team made up of Microsoft Corp, Intel Corp and Compaq Computer Corp have previously argued that the first generation of television receivers compliant with the 18 format ATSC spec would be too expensive and hamper the growth of the digital television market. In addition, Mountain View, California-based start up TeraLogic is separately working on a second generation chip set that could also challenge the Microsoft, Intel, Compaq camp. Philips says it is using TriMedia because the processor’s architecture incorporates the required power and flexibility to process the range of display formats specified in the ATSC standard – ranging from low-resolution to High Definition Television with progressive scan and interlaced images. The TriMedia processor also supports a reverse communications link for interactive services via the internet and other media and can decode video to support video-on-demand services over cable, and support built-in video telephony and computer-based applications such as video games. Initially, DTV sets will support existing National Television Standards Committee (NTSC) broadcasts and new DTV signals. When receiving an NTSC signal, the set can use the TriMedia processor to improve the image quality using filtering algorithms and other enhancement techniques.