Samsung Licenses Downloadable Security System for Digital Cable

Samsung and CableLabs announced the deal Wed., hours before CableLabs submitted to the FCC the cable industry’s proposed timetable for implementing downloadable security technology over the next 3 years. Facing a Nov. 30 deadline for reporting their progress on the proposed new conditional access system to the Commission, cable technologists have been scrambling to put the finishing touches on DCAS and sign up at least one major CE manufacturer for the system. They have also been racing to replace today’s CableCARD removable security modules for DTV sets and set-top boxes.

“It’s a validation of a technology path forward for interactive digital television and security,” said Jud Cary, CableLabs deputy gen. counsel: “It’s a way for implementing security mechanisms other than CableCARDs.” Cary said large CE makers besides Samsung are negotiating with CableLabs for licenses to use the new downloadable conditional access software still under development. He declined to name the manufacturers.

In its Wed. filing with the FCC, CableLabs proposed a July 1, 2008 deadline for U.S. cable operators to upgrade their networks for downloadable conditional access technology. It also recommended a July 1, 2009 deadline for MSOs to support the OpenCable Application Platform (OCAP) software interface for OpenCable TV sets and set-tops. If approved by the FCC, the new DCAS system would let cable operators download conditional access software directly to digital entertainment gear. The software approach would mimic, and ultimately replace, the current CableCARD security modules -- a crucial part of industry efforts to meet the govt.’s requirement of separate TV security systems. The CableCARDs, which are inserted into PCMCIA slots on set-top boxes or TV sets, are also a crucial element of the cable industry’s OpenCable efforts and plug & play equipment compatibility agreement with CE makers.

The proposed downloadable security technology would eventually take the place of embedded security systems in cable set-top boxes. Thanks to the switch, cable operators would be able to pick and choose from a wide range of conditional access and set-top vendors, not just the industry’s traditional duopoly of Motorola and Scientific-Atlanta, which provide both technologies to MSOs.

Cable operators are also eager to boost their presence in retail stores, increasing their visibility in the face of satellite TV competition and encouraging consumers to buy digital set-tops. Cable executives believe downloadable conditional access will make retail sale of digital cable devices more scalable, manageable and profitable than the plug-in CableCARDs, which cost an estimated $75 each to make.

In addition, cable engineers contend that downloadable conditional access represents a clear technical advance over CableCARDs, which the industry developed to comply with the FCC’s push to jettison today’s cable set-tops with integrated security. The Commission hopes the move will let consumers buy a range of “digital cable ready” devices at retail, rather than being forced to lease set-top boxes from MSOs. Consumers simply buy the digital cable-ready device in stores and then contact their cable company for a CableCARD to activate service.

With retailers selling many DTV sets with CableCARD support, cable operators have handed out about 50,000- 60,000 modules to subscribers. But the current modules support only one-way video programming, meaning the plug-in card doesn’t let users watch pay-per-view, video-on-demand (VOD) or electronic program guide (EPG) services without a set-top from an MSO -- a huge drawback for consumers and cable operators alike. Besides, when the TV directly handles decryption through a one-way CableCARD, a DVR cannot be used effectively.

Two-way CableCARDs are in the works. But cable operators prefer to dump the whole technology, developed 7 years ago, in favor of more elegant downloadable CA solutions.

The CableLabs initiative comes as several major MSOs are moving toward downloadable security systems on their own. Comcast is teaming with Motorola on 2 new joint ventures formed in March. The first will develop a next-generation conditional access system based on Motorola’s MediaCipher encryption system. The 2nd will license Motorola’s conditional access systems and other cable technologies, including MediaCipher, to other cable operators and 3rd parties.