(By Balachander) Intel Corp. (NASDAQ: INTC) plans to introduce a new Internet television service and a set-top box this year as part of a move to expand beyond the PC market.
The world's largest chip maker did not disclose details on launch date, name or pricing for the service and the box.
The service will allow users to watch live TV on demand as well as store all programming, Erik Huggers, corporate vice president at Intel Media said at a conference.
"Intel's push isn't a value play and won't cut a user's television bill in half," a CNET report quoted Huggers as saying.
The company hopes to offer more attractive bundles of content than those now offered by cable and satellite companies, the Wall Street Journal reported.
"If bundles are bundled right, there's real value in that. ... I don't believe the industry is ready for pure a la carte," Huggers said.
Intel is negotiating deals with content providers to offer video programming through the box that will feature a consumer-facing camera to help authenticate users, the WSJ reported.
Rumors of an Intel video service and set-top box surfaced last year.
Huggers spoke at the D: Dive Into Media conference being held by AllThingsD.
Intel shares rose 1.00 percent to trade at $21.24 on Tuesday.