BRITISH Digital Broadcasting yesterday confirmed it planned to launch digital television services in the final quarter of this year, and revealed that it would need just under two million

subscribers to breakeven.

Profits for the venture will total #100m after three million subscribers sign up, and reach #250m with five million viewers, the company predicted.

BDB is jointly owned by

Carlton Communications and Granada Group.

BT will work with BDB to provide a customer management centre, Davicom will supply head-end technical equipment, and there will be no ''set-top box war'', the company said.

Most costs would be variable, dependent on the number of subscribers, rather than fixed, said chief executive Stephen Grabiner.

He also said he expected to spend ''significant'' amounts marketing the new service, but added: ''We have the support of all the major broadcasters who will be promoting the new digital service on their free-to-air services.

''This in itself will be worth about #100m, so within one week of launch everyone will know we are here.''

BDB will offer a digital terrestrial service with a minimum of 15 channels available at launch, including content from BBC/Flextech, Carlton, Granada and BSkyB.

The main core subscription will be for 12 channels, with three extra premium channels showing BSkyB's sport or film content.