CableCARD is a trademarked term for a Point of Deployment (POD) module.
The POD is about the size of a thick credit card that fits into a
special slot in specially equipped digital or high definition
televisions.

The purpose of the card is to eliminate the need for a digital cable
set-top box therefore like a cable set-top box, its job is to unlock
and decode encrypted digital-cable signals.
The supposed benefit of a CableCard is that it eliminates the need for
a big bulky cable set top box and comes at a cheaper price. The major
problem with the current generation of CableCARDs (version 1.0) is that
they only replicate some of the features of a set top box. Current POD
modules are one-way only.
Because CableCARD is only one-way, it means that most
programming guides, and all Pay-Per-View and Video on Demand content
will not available to users of the technology as there is no way for
the card to communicate with the cable provider.
A CableCARD version 2.0 standard is currently in the works to address
many of the issues. The new CableCARD 2.0 standard should support high
definition digital cable, two way features such as Pay-Per-View, Video
On Demand, and advanced electronic programming guide information and
allow for up to 5 channels to be tuned in at once, however the standard
is not currently finalized and equipment with CableCARD 2.0 support is
not available. CableCARD version 2.0 will not be compatible with
existing CableCARD enabled products.
No cable providers in Canada currently support CableCARD.
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