In an effort supply low-cost Internet-enabled television services to its subscribers, AT&T Corp. broadband subsidiary Headend In The Sky says it as signed a multi-year agreement with Liberate Technologies.

The suite of services, due out just in time for Christmas, will take advantage of San Carlos, Calif.-based Liberate's TV Platform Compact software and run on the Motorola DCT-2000 set-top box.

"By enabling this offering through HITS, our affiliates can immediately provide their customers compelling new applications without having to invest in costly server infrastructures or set-top upgrades," says HITS senior vice president Rich Fickle. "Liberate's open architecture gives us the flexibility to add new services and provides the cable operator with flexible migration paths into advanced services."

The services will allow interactive content to be broadcast over satellite to cable headends and transmitted to cable customers. The initial suite of ITV services will not require a two-way plant or additional billing-system. Initial interactive content will include news and information services, enhanced TV and interactive games.

"We have confirmed we have the technology proven to operate in today's most widely deployed box, and we have the satellite feed to reach 6 million set-top boxes currently in the field," says Liberate chief strategy officer David Limp.

Littleton, Colo.-based HITS and Liberate say they have successfully completed a technical trial and have begun final technical integration into the HITS satellite broadcast center.

Neither company has said which cable operators will sign up for the service or where the service may be available.

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