"UK telecoms giant BT has announced a video-on-demand movie deal with DreamWorks SKG, one of Hollywood's world's best-known studios, for its next-generation television-via-broadband service, BT Vision.

The agreement will bring DreamWorks' most recent films?including the Shrek franchise, Munich, Red Eye, Madagascar and the Oscar-winning Wallace and Gromit: The Curse of the Were-Rabbit?to BT Vision's video-on-demand service, which is expected to launch in the autumn. Customers will be able to access a range of on-demand movies, music and TV programming as well as Freeview channels, plus interactive and communication services without a compulsory subscription.

And through BT's existing deal with the Paramount studio, BT Vision, which the telco claims is a world first, will also offer an extensive range of older and classic films.

BT Vision CEO Dan Marks said he was ""delighted to have completed agreements with one of the world's greatest movie studios"".

He added: ""We look forward to bringing its movies to our customers with the choice, convenience and control that they want.""

Hal Richardson, president worldwide of DreamWorks' distributor, Paramount, remarked: ""We look forward to participating in this exciting new service, and providing both DreamWorks and Paramount pictures to BT Vision video-on-demand consumers"".

Source: DTG"