• BusinessWeek , Monday, January 12, 2009 12 PM

At the Consumer Electronics Show, Yahoo unveiled a range of new televisions and other devices loaded with software developed with chipmaker Intel Corp. that allows users to call up Web pages and tools for use while watching TV. BusinessWeek notes that past attempts to marry the Web and TV have fizzled badly, but some analysts claim that Yahoo's efforts come at the right time, because consumers are finally ready to enjoy a range of media from a single device. Apple's iPhone, which users use to surf the Web as well as to make phone calls and text messages, is the perfect example. "This is a very intelligent chance Yahoo is taking," says Mukul Krishna, global director of digital media at research firm Frost & Sullivan. "Google and Microsoft will be looking at this very closely."

When it goes public later this year, TV Widgets will have almost 20 different programs available, from Yahoo weather and stock guides to applications created by outside developers, including Twitter, News Corp.'s MySpace and The New York Times. Some widgets will come preloaded with the hardware, while others will be available through a "Widget Gallery." Yahoo's hardware partners include Samsung, Sony, VIZIO and LG.

Eventually, Patrick Barry, Yahoo's vice-president of Connected TV, says, "You'll see video-based advertising, you'll see things that look more graphical in nature, and advertising that's more interactive. Advertising on TV is really broken. We think this is potentially an opportunity to solve problems for consumers and for advertisers."

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