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Orange has postponed the official launch of its fixed-line broadband TV service, it has been announced.

The mobile phone and broadband provider had planned to begin offering the service before Christmas but will now launch the service next year.

The delay has been attributed to the fact that Orange's broadband network is not yet fully developed.

Orange has already put in place deals with MGM and Disney-ABC International to provide content for the service, which has undergone successful trials in London and Leeds.

Ian Maude of Enders Analysis said that a broadband TV service would enable Orange to better compete with rival ISPs in the increasingly cut-throat UK market.

He told the Telegraph: ''It's important for them to protect the broadband base from other service providers particularly Sky [which has more than 1m broadband subscribers].

''They are not going to make any money out of IPTV - we estimate for example that Virgin Media makes around £2 to £3 a month per video-on-demand subscriber.

''But Orange needs to offer it because everyone else is and to prevent broadband and telephony customers leaking to the competition."

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