Addressable Cable System – The network operator installs an addressable set-top box (STB) or equivalent device that connects to the subscriber's display device, such as a television. The network operator can then switch on and off channels and other services that this subscriber is willing or unwilling to pay for. For the system to work, the network operator has to install an encrypting system at the headend and/or in the equipment on the customer premises. Pay channels (and that can include video on demand) and other services are delivered to the customer in an encrypted mode which will then be decrypted (descrambled, decoded) by the consumer's set-top box (or equivalent device) so it can be displayed on his TV or other display device.

As each customer' computerized system has a unique identification, perhaps in the form of an IP address, that customer's interests can be noted and advertising and other services oriented toward that customer's specific interests might be sent to that customer.

Addressable Converter

See the Interactive Television Institute.