Liberate, WorldGate Shares Surge


Shares in Liberate Technologies and WorldGate Communications Inc. surged
Friday on word that AT&T Broadband will shift its focus from deploying
advanced digital set-tops, instead focusing on deploying interactive-TV services
through thin-client set-tops.

Shares in WorldGate, which focused on the Motorola Broadband Communications
Sector 'DCT-2000' set-top, jumped 29 percent, closing at $5.32.

Liberate stock jumped 19 percent, closing at $9.53. AT&T Broadband
recently began a trial of Liberate's middleware platform, selecting the vendor
over its rival, Microsoft Corp.

WorldGate and Liberate are still far off of their highs, as interactive-TV
stocks have taken a beating in the past year.

Multichannel News, The Wall Street Journal and The New York
reported Friday morning that AT&T is pulling back from plans to
launch interactive-TV services through existing set-tops, and it will instead
focus on the 3 million DCT-2000 set-tops that it has in the