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Telecom Italia Convergence Services

Telecom Italia and TIM will launch fixed-line to mobile video-calling and image transfer services beginning in December. Under the fixed/mobile packages, Telecom Italia fixed-line videophones and TIM UMTS phones can video call one another.

The companies� videophone plus UMTS phone package will be available at rates starting from EUR 199. Starting in November, the companies will also allow customers to make calls at reduced prices between their home phone and three cellphone numbers of their choice and vice versa.

In the second phase of its convergence strategy starting in 2006, Telecom Italia plans to launch the Superphone -- a combination home phone and cellphone. It will use UMA (Unlicensed Mobile Access) technology to connect to home ADSL fixed-line networks over WiFi, and work as a GSM, GPRS or EDGE phone outside the home. Calls are charged either as fixed-line or mobile calls, depending on the environment where calls are made and the customer�s price plan.

By the end of December, Telecom Italian plans to introduce IPTV over ADSL home service. The Group is also developing technologies to distribute this content to mobile terminals. A recent non-exclusive agreement between TIM and Mediaset has paved the way for the commercial launch in Italy - the first in the world - of digital terrestrial TV service to mobile phones implementing DVB-H (Digital Video Broadcaster Handheld) technology. Starting in 2006, TIM will offer Mediaset programing on mobile phones at a level of quality similar to that of the digital terrestrial standard.

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