UNITED STATES
	SECURITIES AND EXCHANGE COMMISSION
	WASHINGTON, DC 20549
	FORM  8-K CURRENT REPORT
	Pursuant to Section 13 OR 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest reported)			November 17th, 2006
USA VIDEO INTERACTIVE CORP.
(Exact name of registrant as specified in its chapter)
WYOMING		0-29651		06-15763-91
(State or other jurisdiction of incorporation		(Commission File Number)		(IRS Employer Identification No.)
8 West Main Street, Niantic, Connecticut				06352
(Address of principal executive offices)				(Zip Code)
Registrant's telephone number, including area code				(860) 739-8030
(Former name or former address, if changed since last report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions.
(   )   Written communications pursuant to Rule 425 under the Securities Act (17CFR 230.425)
(   )   Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
(   )   Pre commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR.240.14d-2(b))
(   )   Pre-commencement communications pursuant to Rule 13c-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

INFORMATION TO BE INCLUDED IN THE REPORT

Section 8 – Other Events

Item 8.01

Other Events.

The Registrant announced that that one of the six major Hollywood studio divisions has chosen the Registrant’s MediaEscort™ anti-piracy product to protect their video content being distributed over the Internet.  Details about the signed software license agreement, and the identity of the studio, will be disclosed in a later announcement.

A copy of the News Release dated November 17^th, 2006 is furnished as Exhibit 99.1.

Section 9 – Financial Statements and Exhibits

Item 9.01  Financial Statements and Exhibits.

Exhibit 99.1

News Release dated November 17^th, 2006

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

USA VIDEO INTERACTIVE CORP.

Date :  November 17th, 2006

By :

/s/  Anton J. Drescher

Anton J. Drescher,

Corporate Secretary

Exhibit 99.1

For Investor Relations Contact:

(860) 739 - 8030

USVO SIGNS DEAL WITH A MAJOR HOLLYWOOD STUDIO DIVISION

(Niantic, CT – November 17, 2006) – USA Video Interactive Corp. (OTCBB: USVO; TSX: US; BSE/Frankfurt: USF) announced today that one of the six major Hollywood studio divisions has chosen USVO’s MediaEscort™ anti-piracy product to protect their video content being distributed over the Internet. Details about the signed software license agreement, and the identity of the studio, will be disclosed in a later announcement.

“MediaEscort’s digital watermarking is about protecting the value of studios’ motion pictures properties,” said Patrick Gregston, Manger of Sales for USVO. “It’s about catching people who steal, and with our MediaEscort product, we embed the proof to catch the crooks.”

There has been a tremendous surge of companies this year deciding to distribute and sell video content over the Internet. In October 2005, Apple Computer Inc. announced that five popular television shows would be available through its iTunes online store. Since then, digital delivery of video has grown rapidly after numerous other companies announced they too were making their video content available to consumers on the Internet.

The Motion Picture Association of America states the worldwide motion picture industry, including foreign and domestic producers, distributors, theaters, video stores and pay-per-view operators, lost $18.2 billion in 2005 as a result of piracy. With video content being distributed over the Internet, piracy remains a great concern. MediaEscort is designed to meet the needs of this new market segment.

“We are very pleased that after several months of the studio’s technical team intensely scrutinizing our technology, and working with our technical team, the studio determined that our product passed their tests and fits what they need and want,” said Edwin Molina, President of USVO. “We would like to see more companies choose MediaEscort as they too transition to online video distribution.”

MediaEscort is a software application that resides on customer’s video servers. It will automatically and seamlessly embed SmartMarks—invisible forensic information in every frame of video content—during Internet delivery, providing the proof courts need to protect intellectual property rights, indicting and convicting the individuals who steal the original material.

Using MediaEscort, copyright holders will be able to protect their content without restricting the fair uses of legitimate customers, including copying, archiving, and enjoying the content on different platforms at different times.  MediaEscort’s SmartMarks work across all distribution and presentation channels and technologies, seamlessly providing an entire system for piracy protection without frustrating consumers, who will continue to have the freedom to enjoy content in their own way.  In addition, MediaEscort’s SmartMark process will be fully compatible with DRM.  

About USVO:

USA Video Interactive Corp. (“USVO”) designs and markets technology for delivery of digital media. USVO developed its MediaSentinel™ and SmartMark™ digital watermarking technology to provide a robust means for producers and distributors to invisibly protect their content. USA Video Technology Corp., a wholly owned subsidiary of USVO, holds the pioneering patent for store-and-forward video, filed in 1990 and issued by the United States Patent and Trademark Office on July 14, 1992; it has been cited by at least 165 other patents. USVO holds similar patents in Germany, Canada, England, France, Spain, Italy, and Japan. For more information, visit www.usvo.com.

USA Video Interactive Corporate Headquarters Office: 8 West Main Street, Niantic, Connecticut, 06357  Telephone  (860) 739 - 8030

Facsimile (860) 739 - 8070; Canada Office:  507 – 837 West Hastings Street, Vancouver, BC   V6C 3N6.  Trading symbol on the OTCBB: USVO; Trading symbol on the TSX Venture Exchange US; Trading symbol on the Berlin and Frankfurt Stock Exchanges: USF.   CUSIP 902924208. For more information contact (860) 739 – 8030 or contact@usvo.com.

The press release may contain forward-looking statements.  Actual results may differ materially from those projected in any forward-looking statements.  Investors are cautioned that such forward-looking statements involve risk and uncertainties, which may cause actual results to differ from those described.

MediaEscort, MediaSentinel and SmartMark are trademarks of USA Video Interactive Corp.

The names of actual companies and products mentioned herein may be the trademarks of their respective owners.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.

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