Depending on the compression technology used, cable companies can pack as many as a dozen new digital channels into the space occupied by a single analog channel, paving the way, in some cases, for consumers to see a dramatic expansion of their cable-viewing choices. In some Time Warner markets, customers have seen their programming choices more than double, notes Glenn Britt, president of Time Warner Cable. Encore, the movie channel, offers a dozen digital channels featuring everything from westerns to action-adventure and love stories. Ditto for HBO and Cinemax. Most digital packages also offer 30 or so audio channels, programmed with everything from funk to golden oldies, touting CD-quality sound.
Some packages offer digital versions of popular TV networks.
MTV, Lifetime, and House and Garden Television, among others, are developing digital-format versions targeted to niche audiences. On-screen TV guides, another standard feature in the digital world, help customers navigate through all the new programming choices. The Menlo Park, Calif., company offers a system that lets customers pick from 450 movie selections, from new releases to classics, and view their selections instantly over cable lines via separate set-top boxes. But they don't have to worry about returning videos to the store or getting hit with late fees. Diva currently has about 2,100 customers using its systems in select markets, and is aiming to expand into new cities this year.