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FCC Chief To Unveil Revised Plan To Eliminate Cable Boxes (fortune.com)

The top U.S. communications regulator plans to unveil a revised plan to allow about 100 million pay TV subscribers to replace expensive set-top boxes with less-costly apps that provide access to television and video programs, Fortune reports. From the report: Federal Communications Commission Chairman Tom Wheeler proposed in January opening the $20 billion cable and satellite TV set-top box market to new competitors and allow consumers to access multiple content providers from a single app or device. The plan, aimed at breaking the cable industry's long grip on the lucrative pay TV market and lowering prices for consumers, drew fierce opposition from TV and content providers, including AT&T, Comcast and Twenty-First Century Fox. The FCC has said Americans spend $20 billion a year to lease pay-TV boxes, or an average of $231 annually. Set-top box rental fees have jumped 185 percent since 1994, while the cost of TVs, computers and mobile phones has dropped 90 percent, the FCC has estimated. Update: 09/08 19:18 GMT by M :Tom Wheeler has just published the proposed laws at LATimes.

19 of 149 comments (clear)

  1. Need to do two things by gurps_npc · · Score: 4, Interesting

    1) Declare that no set top box can be rented more than 2 years - automatically converting them "rent to own".

    2) Require all cable companies to have an App Market - charging no more than 30% / $1 (which ever is higher) to the app maker selling apps. These apps would be allowed to duplicate/replace any current function of the set top box, including programming DVR's, showing a channel guide, renting/selling movies, or accessing the internet or other provider services.

    --
    excitingthingstodo.blogspot.com
    1. Re:Need to do two things by Archangel+Michael · · Score: 4, Insightful

      How about simply moving the Franchise agreements away from the last mile, and let consumers choose what service / company provides what they want/need?

      We wouldn't need "regulators" to "regulate" that which should be free and open competition, rather than creating mroe regulations to fix what regulations (Franchise agreements) have already broken. The answer isn't more regulation, it is moving the problem so that regulation isn't required at all.

      The problem is last mile. Currently there is no option for "last mile" other than government granted monopoly. FIX t that problem and all the other problems go a way. It isn't that hard to solve, just have to do it.

      --
      Agent K: A *person* is smart. People are dumb, stupid, panicky animals, and you know it.
    2. Re:Need to do two things by Archangel+Michael · · Score: 4, Interesting

      Who "owns" the roads everyone drives on?
      Who "owns" the right of way leased by CableCo?
      Who "owns" public access rights?

      Your problem is that you're still locked into the "Franchise Agreements" of years past, when they are no longer suitable for use in modern infrastructure.

      Local Municipalities can build out the Fiber Plant, and bring everything back to a COLO facility where ... the competition for the customer happens. The last mile, is owned by the citizens via their local government.

      --
      Agent K: A *person* is smart. People are dumb, stupid, panicky animals, and you know it.
    3. Re:Need to do two things by MachineShedFred · · Score: 2

      #1 just guarantees that the cable companies will come up with some unnecessary horseshit compatibility-breaking change to their systems every 2 years in order to keep rent-seeking. And, you'll be stuck with the old piece of shit set-top box that's useless and have to dispose of it yourself. Win / win.

      --
      Slashdot still doesnâ(TM)t support Unicode after it was added to the HTML standard in 1997.
  2. Good.jpg by bigdady92 · · Score: 2

    Get rid of the ridiculous cable boxes. The TV's we have now are a bajillion times more powerful than the ridiculous set top boxes. Why in the world would we need a DVR with the ability to stream shows. If the networks were smart they would just flag shows that people want to watch and when they finally want to view them start the stream.

    That would require some engineering and know how to do. This would cost money, which of course, the cable companies don't want to spend.

    --
    Wheel of Time: Book by Book and Sumview (summary review) Bigdady92 style: http://bigdady92.blogspot.com/
    1. Re:Good.jpg by tippen · · Score: 3, Insightful

      No way I want that embedded in the TV. The lifespan on a TV is too long to keep up with what's going on re: streaming and online services. Keep the TV as a relatively dumb monitor and keep the smarts on something external that can be updated more frequently at significantly less cost.

    2. Re:Good.jpg by DutchUncle · · Score: 2

      >> I still want my DVR to keep recorded shows locally stored at my house.

      Yes, I even have an extra ESATA drive attached. Except when there was a problem with the FIOS somewhere, and I couldn't get TV, and figured I would watch a DVR recording instead, it WOULDN'T LET ME WATCH because it couldn't get the online approval that I was paid up. So it's not good enough that they encrypt the drive, and use a nonstandard disk format (which I know because it was a pain to recover when my old hard drive crashed), they need internet access for the DRM. It's not good enough that I paid for the service to record the shows, they have to check that I'm still allowed to watch them.

      The only solution is to rewrite the regulations and require treating paying customers like CUSTOMERS rather than fleeced sheep. I expect hell to freeze first.

  3. Wheeler is a nice surprise so far by PeeAitchPee · · Score: 5, Interesting

    Cautiously optimistic about this guy, between this, Net Neutrality, and a few other issues. Hard to believe he was a career Cable TV industry guy with the decisions he's been making for the consumer's benefit. Still expecting a bunch of arrows to start shooting out of the walls Indiana Jones-style at some point, though.

  4. Re:cable is not over the air waves by Anonymous Coward · · Score: 3, Informative

    It's the Federal Communication Commission, not the Federal Wireless Commission. They have authority over any and all public communication, one or two way.

    They have been around and regulating wireline communication since before you were born.

  5. Re:cable is not over the air waves by darkain · · Score: 5, Informative

    They regulate the telephone networks as well. They regulate "communication", in all forms, as their name directly implies.

  6. Re:cable is not over the air waves by boskone · · Score: 2

    the cable companies are granted monopolies by the government, so therefore they get to receive more regulation to go with that

  7. Re:cable is not over the air waves by ShanghaiBill · · Score: 3, Insightful

    If a cable company puts some wire down, they ought to be able to do whatever they want

    No they shouldn't. Most cable companies are monopolies, either granted by the municipality, or a de-facto monopoly because no other company is going to incur the sunk cost of installing cable into what would then become a low-profit competitive market. The government has a legitimate interest in regulating monopolies, although it should probably be done through the FTC rather than the FCC.

    The real solution is the get rid of the monopolies. When streets are trenched, a large (12") government owned conduit should be installed, and multiple fibers should be pre-installed inside it. These fibers can then be leased or sold to multiple competing companies, and any bonded company should be able to run additional cables through the conduit. This would drastically cut the cost of entering the market.

    Our current system, of requiring each company to retrench, is as silly as requiring FedEx, UPS, etc to each build their own roads into each neighborhood.

  8. Re:I have my own plan to eliminate cable boxen. by Oswald+McWeany · · Score: 2

    I cut the cord... ... but had to duct-tape it back together again to get internet access.

    --
    "That's the way to do it" - Punch
  9. Re:Netflix by Archangel+Michael · · Score: 2

    No, the problem isn't TWC can't, it is that they don't want to. They have a cushy Government granted Monopoly (franchise agreement) and have pushed for all sorts of anti-competitive regulations on top of it.

    Because we haven't broken the Franchise Agreement problem, we aren't really solving anything by adding regulations on top of regulations to fix the problems caused by regulations (Franchise agreements) caused. The foundation is crumbling, and you're worried about the view out your window.

    --
    Agent K: A *person* is smart. People are dumb, stupid, panicky animals, and you know it.
  10. Re: I have my own plan to eliminate cable boxen. by Mr+D+from+63 · · Score: 2

    Its not even a plan to eliminate cable boxes. It is a plan to have an alternative and foster competition. Calling it a plan to eliminate them actually helps the cable companies make their case against it.

  11. Re:I have my own plan to eliminate cable boxen. by TigerTime · · Score: 2

    So basically theft? Considering that open APs are almost always for people INSIDE those businesses/homes. Not for random people to leach off of.

  12. Re:apps so they can lock down and change outlet fe by SeaFox · · Score: 4, Interesting

    If the current situation is boxes that are rented, and that can be updated remotely. Couldn't they do all that now anyway?

    Yes, and that's one of the bullshit fees cable companies charges that needs to go away.
    Back in the cable-ready-tv analog cable days, you paid for the service and it covered your whole house.
    The excuse for adding these fees was the cost and upkeep of the equipment -- but it was really just a money grab.
    There's no reason you should have to pay per-TV for service with software apps.
    There might be an argument for per USER fees, but if I live alone and have two TVs (one in the bedroom and one in the living room), should I have to pay extra even though I can only watch one TV at a time?

    Do you pay for each phone you have in your house anymore?
    Does the water company charge for each bathroom in your home?

  13. Re:I have my own plan to eliminate cable boxen. by known_coward_69 · · Score: 2

    NYC we have free city wifi in parts of the city. they put up one of those things by me but i can't reach it from my apartment yet. figure within the year they are going to put more up and i won't have to pay for time warner if i dont want to

  14. Re:I have my own plan to eliminate cable boxen. by unixisc · · Score: 2

    So basically theft? Considering that open APs are almost always for people INSIDE those businesses/homes. Not for random people to leach off of.

    Theft maybe, but insecure. If you pick up a packet of french fries that somebody bought from McD's and then discarded b'cos he was full, are you guilty of theft? Unhygienic, definitely, but theft?