SYDNEY, May 22: Qamtas Airways Ltd said on Thursday that it planned to spend A$320 million on interactive services including movies and possibly gaming for its international flights.

Qantas commercial manager Geoff Dixon said that the airline was looking at the interactive system that is made by US group IFT.

Qantas will make a decision by April 1998 on whether it would buy the IFT system, he said.

Dixon said that the airline was in talks with the Australian government on whether it would be able to install the proposed gaming system on its aircraft. "We are doing this for competitive reasons," Dixon said.He said that the current budget for the installation of the interactive services did not included any gaming revenue.

IFT is Phoenix-based Interactive Flight Technologies Inc. Chief executive James Strong said: "Gaming would give the airline a revenue stream it would not otherwise have and therefore would help offset some of the costs for installing the system." The system would include video on demand, first release movies and video game.

The planned interactive system is the major cost of Qantas' A$550 million programme over the next three years to upgrade its international and domestic flights through new seating, and enhanced first class services and catering.

Qantas is 25 per cent owned by British Airways Plc.

At 3.45 P.M. (0545 GMT), Qantas shares were four cents up at A$2.78.

Copyright © 1997 Indian Express Newspapers (Bombay) Ltd.