Intel to unveil Internet TV hybrid

Intel announced it will reveal prototype devices next month aimed at helping the CPU giant combine the Internet and TV.

The Santa Clara, Calif.-based company hopes to personalize the TV by giving consumers a new TV experience using mini-applications to enhance viewership.

In August, Intel announced a partnership with Yahoo and then announced a new "Widget Channel," a new way for hardware and software platforms to mesh Internet and television together.

Combining the Internet and TV will give viewers an entirely new user experience and interactivity that cannot be met today.  During a live presentation during IDF last August, widgets from Nickelodeon, Twitter, MTV, Joost, and other popular online services were shown off after the opening keynote. 

Users will have the ability to download new widgets in the future.

The devices are Intel x86-based devices, with manufacturers such as Gigabyte onboard to build the new TV/Internet hybrid.  Intel specifically hopes the Intel Media Processor CE 3100 System on a Chip (SoC) will help move the company away from PCs and into the living room.

Developers now have access to SDKs so applications can be built based on HTML, Flash, XML and Javascript for the Widget Channel.

Intel plans to show off the new devices during the Consumer Electronics Show (CES) next month in Las Vegas.  It’s likely other partners will be announced during the show, as Intel may not feel comfortable relying solely on Yahoo.

As more people begin to connect the Internet to their video game consoles or Blu-ray players, the ability to access the Internet while browsing TV has become more popular.  Furthermore, analysts expect online advertising to quickly surpass newspaper, cable TV, and broadcast advertising in revenue by 2012.