Charter Scores Set-Top Waiver
FCC Grants Two-Year Waiver That Paves Way for MSO to Deploy Downloadable
Security
By: Jeff Baumgartner
Multichannel News
Apr 18 2013 - 6:01pm
http://www.multichannel.com/technology/charter-scores-set-top-waiver/142813
The Federal Communications Commission has granted a condition-filled,
two-year set-top waiver to Charter Communications partly on the belief
that it could spur broader adoption of downloadable video security
systems by other U.S. cable operators and lure more consumer electronics
manufacturers to the platform.
The waiver clears the way for Charter to deploy dual-security set-top
boxes that support the new downloadable security platform, which
requires a “commodity” hardware chip, and an integrated version of
Charter's legacy security system that will be used as the MSO rolls out
the new technology. Charter argued that it would be egregiously
expensive to create a dual-security box with a CableCARD and likewise
delay its all-digital conversion.
The plan mimics the one Charter CEO Tom Rutledge championed as the chief
operating officer of Cablevision Systems, which was granted a similar
waiver in 2009. Cablevision’s system, like the one proposed by Charter,
will use a downloadable security system based on the Cisco Systems “key
ladder” that Cablevision is running on Samsung set-tops and is available
on an open royalty-free basis for implementation by third-party
manufacturers.
Charter’s request was opposed by the AllVid Tech Company Alliance, TiVo
investor Samuel Biller, the Consumer Electronics Association and Public
Knowledge, in part because they were skeptical that third-party
manufacturers would make devices that are compatible with the
downloadable system. They were also leery that the downloadable platform
would be nationally portable.
The FCC concluded that it had “good cause” to grant the limited waiver
because it “will increase the chance of an industry-wide standard
developing” for downloadable security for set-tops while attracting
support from CE companies.
“We believe Charter’s adoption of the same system will make it more
likely that other operators considering moving to a downloadable
security system will adopt the same established and tested technology,
which will in turn make it more likely that third party manufacturers
will develop retail devices given the expanded market,” the FCC noted.
But there are several conditions that Charter must meet, or face
possible revocation of the waiver:
Charter must submit a declaration, signed by its CEO (Tom Rutledge)
under penalty of perjury, attesting that Charter is engaged in good
faith negotiations with a CE manufacture that intends to develop a
set-top to be sold at retail in the U.S. that uses Charter’s
downloadable security and can be used by Charter customers in all the
MSO’s cable systems.
Charter must also support the CableCARD indefinitely, including
self-installation, and in switched digital video deployments, among
other requirements. An an incentive, Charter will no longer be required
to provision new CableCARDs to customers when a third-party device
compatible with the MSO’s downloadable security system is available for
purchase at retail.
Charter must submit semi-annual reports (to coincide with the January
and July submissions made by the NCTA on Charter’s behalf) to the FCC
Media Bureau for the next four years. Those reports must provide status
updates on several items, including Charter’s downloadable security
deployment, its discussions with CE manufacturers, and the number of
CableCARDs being deployed by Charter for use in retail devices like TiVo
boxes.
Charter must offer the hardware, software, specs and codes to implement
the downloadable security system on an open, royalty-free basis, and
cooperate “in a timely manner” with any third-party manufacture seeking
to develop devices that use the new security system.
The FCC also accepted conditions volunteered by Charter outlined in an
April 4 filing that included a promise to expand the reach of its 100
Mbps high-speed Internet tier to an additional 200,000 homes within two
years of getting the waiver, and to go-all digital in all markets within
nine months after the two-year waiver expires.
"Charter Communications is pleased with the FCC’s decision to grant our
waiver request," the company said in a statement released Thursday. "By
granting the waiver, the FCC has helped expedite Charter’s ability to
deliver a next-generation, all-digital network. The many consumer
benefits of an all-digital network include better video services and
higher internet speeds. As we convert to an all-digital footprint, we
have committed to offering 100Mbps service to an additional 200,000
homes and will continue to support legacy boxes with separable security."
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