New FCC regulation might raise cable rates even higher
By Matt Burns 
posted Jun 11th 2007 8:15AM
posted Jun 11th 2007 8:15AM
Frustrated about your high cable bill? Well then, we're sorry to start the week off like this. Come July 1st, you might see a higher cable bill if you have a new cable box installed when a federal rule goes into effect. Security is the buzzword here and any set-top-box that is deployed after July 1st must have a CableCARD installed. Plus, the FCC is looking to create a retail market for set-top Cable CARD equipped boxes and requiring a CableCARD levels the playing field a bit. (Example: Samsung SMT-H3050) So not only will the boxes cost more to lease, 'cause of all this new security, but then cable companies can tack on an extra cost for the CableCARD. How much more are we talking? A bias and more than likely high-cost estimate rings in from a TiVo spokesmen at around $20 per new box deployed. Only time will tell if prices will in fact go up, but everyone knows that when at all possible, cable companies do raise rates. 
This will benefit consumers in the long run. It will break the strangle-hold cable companies have on the settop box.
So, if the FCC is opening this up to retail set top box manufacturers, what's the hold up on PCI tuners with CableCARD? Also, does this mean they are going to do the same thing with DBS providers?
This is what I have been waiting for. Sick and tired of paying rental fees to cable ops. Can't wait to see the specs when available.
Now wait a second... so, we're going to force cable cards, and then as the year goes on, we're slowly going SDV which doesn't work with V1 cable cards?! Am I missing something or does this sound like a horrible idea that not only will be a pain to customers, but will also be a huge waste of money for cable companies? Also, how does this affect On Demand content? Are we getting bi-directional boxes that work just fine, but use the CC as secondary authentication and "security"? Or are we going to a cable card standard that's going to kill all bidirectional signals? Until cablecard is up to date (like v2 should be, if it's ever released), I don't want to use it.
On the contrary to previous comments, I don't see how Cable companies currently have a strangle hold. I don't know about all of them, but from what my local cable company (TWC) and my general understanding, most, if not all cable companies offer cable cards rather than their own set top boxes. Additionally, with TWC, the set top boxes are free/part of the service (standard, not DVR obviously). Personally I see CableCARD as the worst idea to come to TV in a long time.