FCC Chair's interesting comments on unlocking the cable box


FCC Chair Tom Wheeler:

If you've ever signed up for a $99-a-month bundle for cable, phone and Internet and then wondered why your bill is significantly higher, this is a big reason. Even when the company has recovered the cost of the box, you must continue to pay for it. Altogether, U.S. consumers spend a whopping $20 billion a year to lease these devices. In fact, according to a recent analysis, over the past 20 years the cost of cable set-top boxes has risen 185 percent while the cost of computers, televisions and mobile phones has dropped by 90 percent.

CableCard was supposed to be the solution to give consumers choice. Unsurprisingly cable companies have provided minimal support while at the same time seemingly trying to impose maximum frustration.

We've been using TiVo for about 15 years now and I've had plenty of experience with CableCards. It's actually gotten much better in recent years, but is still kind of a pain. The secret is knowing the special hotline that's typically not listed or advertised. Otherwise God help you if you call the main support number and good luck when they send out a clueless tech.

Anyway, TiVo isn't really a cost-saving alternative to a cable box as the TiVo service fees usually outmatch the box rental. Plus you have to pay for the TiVo. If you buy a lifetime subscription, the TiVo will be outdated and perhaps broken before the fee is recovered. A couple years back, however, I had an older TiVo box sitting around that I gave to my parents. For only $99 I added a lifetime subscription to that TiVo. That cost was recovered in about a year.

If a real solution for average consumers became available, I'd imagine plenty of options would become available for consumers. Maybe think of set top boxes and cable companies as cell phones and carriers. I'm sure Apple would be interested in getting in the action with its Apple TV. It all depends, however, on what cable companies will be forced to do because they're unlikely to willingly give up a cash cow.