Charter Books Sony `Passage'
By Karen Brown -- Multichannel News, 1/9/2003 6:01:00 AM
Charter Communications Inc. became the first major MSO to buy into Sony Electronics Corp.'s new technology aimed at breaking the traditional cable-headend duopoly.
Charter has signed a licensing agreement with Sony to use the electronics giant's new "Passage" technology, which would allow two or more conditional-access systems to coexist in a cable digital headend. The market is currently dominated by systems from Scientific-Atlanta Inc. and Motorola Inc.
By opening the conditional-access system up to more competitors, Charter hopes it will open up the market for set-top boxes, network gear and headend equipment, while not scrapping existing systems.
"With Sony's Passage technology, cable operators will have the freedom to cost-effectively introduce alternative conditional-access systems into their networks, which should encourage new manufacturers to develop new products and accelerate innovation in the industry," Charter executive vice president and chief technology officer Stephen Silva said.
"Opening up the cable-industry infrastructure will most certainly foster competition and result in more choices and better services for consumers," he added.
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