Playboy and OpenTV Strike Deal

CHICAGO – Playboy Enterprises entered a software development deal with OpenTV Corp., an interactive television company that creates a range of set-top box iTV solutions used by cable and satellite operators for enhancing television content delivery with features such as email access, camera angle control, instant replays, music and audio downloads and online shopping.

OpenTV is 70 percent owned by cable giant Liberty Media, the largest shareholder of Rupert Murdock's News Corp empire, and was formerly a subsidiary of AT&T.

The multi-year agreement will not be limited to the development of set-top middleware, Playboy stated, but will also include the development of additional Playboy-branded applications and games that will be deployed on the Playboy TV Network.

While the terms of the deal were not disclosed, Playboy stated that OpenTV also will provide consulting and advisory services.

San Francisco-based OpenTV recently announced a licensing agreement with the advertising sales unit of Comcast Cable to extend the use of its OpenTV AdVision, a system that monitors advertising inventory, traffic, scheduling and billing.

"This commitment reinforces the compelling value proposition that we offer in the applications space, and we look forward to building unique, reliable and stable technologies and applications that increase viewership and revenue for both Playboy and their network operator distributors around the world," OpenTV's Tim Evard said, announcing the partnership.

In other news, Playboy said that it expects to see higher earnings for the coming year in a range of 54 cents to 59 cents per share due to a $19 million debt restructuring.

Shares of Playboy rose 16 cents to close at $13.25.

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