| Summary: | As the cable television networks transition from a broadcast-only network, to a high-bandwidth
two-way network, the importance and functionality of the set-top box increases. However,
developments in the set-top box industry have been restrained by the control the cable companies
have over their equipment. Currently, a set-top box includes closed, proprietary technology
which prohibits its use on other cable systems' networks.
This paper explores the possibility of abandoning closed, proprietary set-top box standards in
favor of open standards. This "opening" of the set-top box is not a trivial matter since it
challenges cable companies' concerns about security, quality, etc. The paper includes a policy
analysis of the impact the Cable Act of 1984 and 1992 and the implications it had on the set-top
box. To help quantify the benefits of open systems for cable television, economic analysis on set-top
box costs is included. Finally, the role of the set-top in the emerging National Information
Infrastructure (NII) is explored.
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