Is Microsoft’s Vista gambling too much on CableCARD?

Thu, Oct 26, 2006

Blogroll, Vista Media Center

Lack of cable and satellite HDTV support is the biggest flaw in Windows MCE 2005. Hopefully, Vista will change that as CableCARD support is the major feature upgrade offered in the next version of Media Center.

What is CableCARD?

CableCARD is the technology created by the United States cable television industry in response to government mandates by the FCC to separate the internal functions of integrated set-top boxes and allow third-party manufacturers to sell devices with built-in digital cable tuners directly to consumers. CableCARDs cost anywhere between $1.50 to $8 a month to rent (per Weaknees.)

Why Use CableCARD?

To watch HDTV from you cable company with a Vista box, you will be stuck with a CableCard. The lure of using a CableCard is HDTV from your local cable company fed right into your media center. No cable boxes needed, no IR blaster, and no lag when changing channels. Digital cable has not been available to MCE owners. Today’s tuners are not able to decode the encryption pumped out by the cable companies. CableCARD rectifies those issues.

How is Microsoft Vulnerable?

To get CableCARD support in Vista, Microsoft had to sell-out the DIY community of PC builders and potentially smaller OEMs. Microsoft is totally reliant on the big OEMs, like Dell and HP, to move their product. To date, HP or Dell has not been too innovative with Windows MCE computers.

As much as the Series 3 Tivo has paved the way for Vista, it has shown the potholes facing CableCARDs. The cable industry is loathe to support it and is constantly fighting its implementation. Mainstream adoption of CableCARD is hardly guaranteed. All it takes is a cable company to exert alittle more influence over the FCC and suddenly Vista is not as attractive as a media center. Without HDTV support, Vista does not offer alot of improvements, especially in light of the more stringent EULA.

CableCARD also is a U.S. only technology and those outside of the states have yet to see any additional advances for Media Center being used as a PVR. If you live outside the U.S., upgrading to Vista is not nearly as attractive.

IPTV could be an interesting addition to the fray but Verizon is desperately resisting the FCC’s mandate on CableCARD. Verizon has requested exemption from an FCC ruling that would require cable companies to use CableCARD on their own boxes.

Alternatives to CableCARD

Right now, Vista’s CableCARD support is getting the most press coverage though Microsoft is working on other content distributors. So what are the alternatives to CableCard? DirecTV? Microsoft has issued a press release that they are working together with DirecTV though no details have really been provided. Even if DirecTV is an option, you essentially have eliminated a large chunk of the television market if CableCARD is not a viable option.

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