EXHIBIT 1.2


[LETTERHEAD FOR INTERACTIVE NETWORK]

Interactive Network, Inc. Completes Settlement Agreement with TCI, Motorola,
NBC, and Sprint

BELMONT, Calif.--April 26, 1999--Bruce Bauer, Chairman and CEO of Interactive
Network, Inc. (Nasdaq: INNN), announced today that on April 22, 1999, the US
Bankruptcy Court's order confirming its plan of reorganization had become non-
appealable and final.

The Company further announced that today, April 26, 1999, the Settlement
Agreement with TCI, NBC, Sprint, and Motorola was completed. The results are as
follows:

- --   The $38.4 million in principal and accrued interest of the Company's
     notes were converted by TCI, NBC, Sprint, and Motorola (noteholders) at
     $5.00 per share into 7,814,588 shares of Interactive Network, Inc. common
     stock.

- --   The return of clear title of Interactive Network's patent portfolio and
     other assets to the Company.

- --   The noteholders paid $10 million plus accrued interest to Interactive
     Network. The Company has allocated a substantial portion to pay its
     creditors and to form a reserve account for the claims of creditors it is
     disputing.

Contact:
  Interactive Network, Inc., Belmont
  Bruce W. Bauer, 650/508-8793