Shanghai Media Group has made major headway in the digital television business by jointly launching a wireless interactive television service with Intel (INTC).

The receiving and sending solution for the parties' wireless interactive television service is said to be provided by Lingxun Technology, and the interactive solution by i-Vision. Intel, as a platform manufacturer, is responsible for providing Centrino technology development coordination, while SMG is in charge of offering content, operation and marketing.

Gao Yue, general manager of SMG's Interactive Television Company, says that the company's alliance with Intel will lead China's television industry into the 2.0 era. However, Gao states that the new pattern is just in its beginning stages and it has not been put into commercial use. Gao says that it is likely that users will be able to watch free interactive channels before the Beijing Olympic Games, but the content is not good enough yet.

The cooperation is also an extension of Intel's family strategy. In 2005, Intel launched the "Viiv" program in the hope of seizing Chinese family's sitting rooms by binding televisions with desktop computers. However, the plan has not made much progress in the past two years.