The Federal Communications Commission made an announcement Wednesday proposing that cable and satellite subscribers be allowed to select which devices they use to view content.
Currently, subscribers must get boxes from their cable provider and this costs consumers an average of $231 a year. Cumulatively, consumers in the U.S. spend an estimated $20 billion a year to lease the boxes. Should FCC Chairman Tom Wheeler’s proposal pass, the consumer will receive more choices for cable set-top boxes and "tear down anti-competitive barriers.”
“The new rules would create a framework for providing device manufacturers, software developers and others the information they need to introduce innovative new technologies, while at the same time maintaining strong security, copyright and consumer protections,” writes Wheeler. “Nothing in this proposal changes a company’s ability to package and price its programming to its subscribers, or requires consumers to purchase new boxes.”
Not surprisingly, cable companies are opposed to the FCC proposal. According to The Wall Street Journal, more than 40 telecom and media groups are planning to create a coalition to oppose the plan.
In his announcement, Wheeler stated the proposal ultimately comes down to allowing consumer the right to choose.
“The proposal is about one thing: Consumer choice,” said Wheeler. “You should have options that competition provides. It’s time to unlock the set-top box market — let’s let innovators create, and then let consumers choose.”
For the consumer, monetary savings could also be a benefit, as advocates estimate consumers could save billions.
"Because of this, consumers could save billions in set-top box rental fees, and the video device market could benefit from the same technological and economic forces that have put a mobile supercomputer into millions of pockets," says Public Knowledge senior staff attorney John Bergmayer to The Hollywood Reporter. "By eliminating cables’ stranglehold on the predominant way that people watch TV, the Commission will create opportunities for programmers who want to access viewers without passing through the cable gatekeeper.”
