Intel preparing cable TV service city by city

Chip-maker sees smart cable boxes as next silicon frontier.

After nine months of speculation about Intel's alleged cable TV service, a source "directly familiar with Intel's plans" says the company's plans are moving forward locally.

According to TechCrunch, the source claims that after other providers had washed their hands of the failed attempt at Google TV a few years ago, Intel saw real opportunity.

The real challenge to overcome in starting a new cable TV service is getting the content providers on-board, which other manufacturers hadn't been able to do nationwide.

Reportedly, Intel grew tired of "everyone doing a half-assed Google TV so it's going to do it themselves and do it right."

By living room

The city-by-city approach that the source says marks Intel's new strategy seems to offer a lower risk, higher flexibility option for licensing.

Whereas content providers may have been leery to enter into large national contracts, Intel appears to be banking on the draw of smaller markets to open up previously untapped licensing potential.

Outside of gathering the movies and shows, Intel will also reportedly be making the set top box delivering the content.

According to the source, the real strength of Intel's set top box is access to the last month of content on-demand - essentially a DVR that doesn't need to be told to record.

Whatever the capability, the source claims that the service will be rolling out to select cities "soon".