Pay Cablers Fear DVD Burn HBO, Showtime Seek Limits on Digital Copying, but Starz! Has Different View By John Motavalli An attempt by the cable, pay TV, consumer electronics and movie industries to reach a plug-and-play agreement with the Federal Communications Commission on consumer recording of rapidly growing on-demand programming is in tatters. A major split has developed that pits unlikely allies-the two largest pay TV services, HBO and Showtime-against the No. 3 pay TV operator, Starz! Encore, most cable operators and the consumer electronics industry. The term plug-and-play de-scribes the FCC's goal of allowing consumers to plug their cables directly into their digital TV sets without using a cable set-top box. To receive two-way services such as video-on-demand, pay-per-view or interactive program guides, consumers would still need a box, however, and that's where the trouble begins. In a statement last year, the FCC said it "encouraged the cable and consumer electronics industries to consult with interested parties and affected industries as the two-way negotiations progress." While home recording of a program one time for personal use has been legal since the 1980s, the issue has moved to the forefront again because in the digital age it is possible to make perfect copies every time. Now the emerging use of video-on-demand organizes content in a way that makes it even easier to access and in turn, record and copy. Existing rules allow a copy to be made once off pay TV. If the FCC does not make a new ruling, that applies to on-demand as well. While the FCC has left it to the industry to sort it out, absent an FCC ruling, the industry will not sort it out, insiders say; the consumer electronics manufacturers will not be forced to make equipment with the encoding mechanisms. Therefore the status quo will stand, with consumers being able to record on demand. Cable companies are already rolling out new set-top boxes that make it possible to record off pay TV or VOD with a digital video recorder or a VCR. The next generation of boxes is expected to also include the option to add a DVD burner, which would make permanent, perfect copies. http://www.tvweek.com/topstorys/053104pay.html ---------------------------------------------------------------------- You can UNSUBSCRIBE from the OpenDTV list in two ways: - Using the UNSUBSCRIBE command in your user configuration settings at FreeLists.org - By sending a message to: opendtv-request@xxxxxxxxxxxxx with the word unsubscribe in the subject line.