VIDEO-ON-DEMAND

USA TODAY
January 24, 2000

BYLINE: Sara Nathan; From staff and wire reports
Microsoft has acquired a 26% stake in the start-up media company Intertainer for $ 57 million. Executives say the investment will enable the 3 1/2-year-old company, which provides movies to consumers via their TVs and personal computers, to expand. Intertainer, tested in 1,000 homes in cities such as Denver, New York and Cincinnati, hopes to be in about 500,000 homes within a year. With Intertainer, customers can order and watch selected movies and shows delivered over dedicated bandwidth cable and telephone lines for up to $ 3.95 a program. Previous investors include Sony, Comcast, NBC, US West and Intel.