IP set-top boxes allow the reception of content via broadcast, satellite, cable, or on-demand over IP networks. IP set-top box scenarios include Video-on-Demand (VOD), full broadcast TV, plus VOD services that use an IP broadband connection such as DSL, cable, or fiber to houses.

IP set-top boxes can provide other functionalities as well, including electronic program guides (EPGs), Digital Rights Management (DRM) for playing back encrypted content, and a variety of interactive and multimedia services.

From a user's perspective, an IP set-top box behaves almost like a traditional Video-on-Demand set-top box. What distinguishes the device is that the content is pushed to a local hard-drive disk on the device, by using a broadband connection, and then the content can be played back on-demand. The advantage of this device is that content can be "trickled" rather than streamed, requiring less bandwidth. This process can also happen in the background while other activities, such as broadcast viewing, are taking place.

The functionality of a set-top box in its various forms can be combined with that of a networked media device (NMD) or a local media player to make these devices the center of the home entertainment experience.

An IP set-top box can also support other features such as Web browsing, composing e-mail and viewing e-mail attachments, playing media using advanced multimedia codecs, networking home computers, receiving and sending instant messaging (IM) messages, and making phone calls using real-time Voice over IP (VoIP).

For more information about third-party partners that provide set-top box related support, see the Windows Embedded Partner Program at this Microsoft Web site.

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