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Telefonica de España will use equipment and software from nCUBE Corp. to support a rollout of video-on-demand services in Spain.

Telefonica will offer the service via its ADSL network and use nCUBE's nABLE management software and n4x video servers. Initially, Telefonica will offer VOD in the Madrid, Barcelona and Alicante regions of Spain, and expand to additional cities over the next two years.

Telefonica presently serves 13 million customers overall, and provides more than 1.3 million ADSL lines in Spain (wholesale and retail).

The deal further validates "nCUBE's flexibility and ability to cost-effectively deliver compelling on-demand services across multiple platforms," said nCUBE President and CEO Michael Pohl, in a press release.

Though most of nCUBE's VOD business is with cable operators, it has managed to win business from several telcos in recent years, including Deutsche Telecom, Kingston Communications, Shanghai Bell, NTT Communications and YesTV.

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