The FCC adopted rules for digital “plug and play” cable compatibility, paving the way for digital TVs to work on cable networks without set-top decoders. The new rules will permit TV sets to be built with “plug and play” functionality for one-way digital cable services, which include typical cable programming services and premium channels like HBO and Showtime. Consumers will have to obtain a security card (often called a “POD” or “cable card”), from their local cable operator, to be inserted into the TV set. Consumers will still need a set-top box to receive two-way services such as video on demand, impulse pay-per-view and cable operator-enhanced electronic programming guides.
The FCC noted that the industry continues to work on standards for two-way “plug and play” receivers that would eliminate the need for a set-top box to receive these advanced cable services.
Gary Shapiro, President and CEO of the Consumer Electronics Association (CEA), noted that 14 consumer electronics companies, representing the majority of HDTV sales in the United States, and seven major cable multiple system operators (MSOs), representing more than 75% of all cable subscribers, previously agreed to a memorandum of understanding that became the basis for the FCC action.
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