Tivo and other independent makers of media center PCs are worried about a bill proposed in Congress that would limit the federal government's ability to require cable operators to use CableCards in their own boxes.
CableCards were introduced to ensure competition in the cable TV services market. Under a rule enacted in 2007, cable operators are required to add CableCard slots to their set-top boxes. Such cards allow a Tivo digital video recorder to tune into cable TV by authenticating its connection.
The "‘Consumer Choice in Video Devices Act" proposes to end the authority of the Federal Communications Commission (FCC) to make cable operators use CableCards in their own boxes.
"In today’s competitive video marketplace, cable operators have no incentive to make it more difficult for their customers to use preferred devices to access their video programming," a draft dated July 24 reads.The bill, sponsored by Rep. Robert E. Latta (R-OH), would bar any FCC "rule or policy that prohibits a multi-channel video programming distributor from placing into service navigation devices for sale, lease, or use that perform both conditional access and other functions in a single integrated device."
The National Cable & Telecommunications Association (NCTA) argues that the CableCard requirement has added $1 billion in added subscriber costs since 2007 and an extra 500 million annual kilowatt hours of electrical use.
Tivo and others worry more about CableCard's potential replacements. "The cable guys want to 'end of life' CableCard [and] move on to new security techniques without making a nationally standard successor solution available," wrote TiVo General Counsel Matt Zinn in an e-mail to Ars Technica. He predicted higher prices for CableCards would result. Happauge offered similar comments.