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DSG Retail, owner of UK electronics retailer Currys, is preparing to launch a new over-the-top (OTT) video service called 'Knowhow Movies' in early 2012.

The company has built a holding page at www.knowhowmovies.com which promises that the new service will offer a "huge" range of movies and TV shows for instant streaming at home or on the go, with both rentals and purchases on offer.

"Knowhow Movies lets you decide how you watch movies and TV - whether you want to download it or stream it to your device, the choice is yours," promises the holding page. "You can even start watching your movie on the train, pause it when you reach your stop, and restart it right where you left off when you reach your sofa!"

Editor's view: The new service will be entering a tough market for OTT video: existing subscription-based services include the likes of US giant Netflix and the well-established Amazon-owned LOVEFiLM, while transaction-based rivals would include BlinkBox, backed by retailing powerhouse Tesco.

It will also have to contend with the likes of BSkyB, which is launching its own OTT service later this year, and the BBC-backed YouView initiative, which is expected to launch in time for the London Olympics.

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