Microsoft settles WebTV charges

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Microsoft Corp., Redmond, Wash., agreed to settle Federal Trade Commission charges that 1997 and 1998 ads for WebTV via Rubin Postaer & Associates, Santa Monica, Calif., deceptively suggested WebTV could provide all the content of the Internet on a TV and didn't disclose some consumers would have to pay long-distance charges to access WebTV. The FTC said streaming video, Web sites using Java and some Web games aren't fully viewable on WebTV. Microsoft agreed to more fully disclose the differences in the future and to run consumer education ads in three national magazines, provide a pamphlet at stores and reimburse some consumers who canceled because of long-distance charges. FCB Worldwide, San Francisco, now handles WebTV.

Copyright October 2000, Crain Communications Inc.

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