An Intel official has confirmed Santa Clara is building a set-top box that will offer a paid video service delivered over the Internet.
"For the first time, we will deliver...a new consumer-electronics product that people will buy from Intel through a new brand," Erik Huggers said.
"What consumers want is choice, control, and convenience. If bundles are bundled right, there's real value in that... I don't believe the industry is ready for pure a la carte."
Although he declined to name or price the device, he did confirm it would be introduced sometime in 2013.
In addition, Huggers said the industry heavyweight was currently negotiating with content holders to offer video programming, which will reportedly include a consumer-facing camera to authenticate users and facilitate "watching programming jointly with users in other locations."
Of course, the service will offer live television, while allowing users to watch content already aired. Interestingly, the video service would also be available on non-TV devices such as the iPad, and almost certainly Android tablets and smartphones as well.
The as yet unnamed set-top box is apparently loaded with a user interface (UI) that will offer viewers an "incredible experience" and is likely to cost the same amount as current cable services.
"It's not a value play," Huggers added.