Cablevision Systems Corp and Sony Corp are to jointly develop a new set-top box for broadband communications and digital entertainment in the New York metropolitan area. The box, expected to be delivered in about a year’s time, will link New York-based Cablevision’s delivery network with Sony’s Open Cable-compliant digital set-top box. Cablevision is the sixth largest cable operator in the US and serves 3.4m subscribers in the New York, Boston and Cleveland areas.

The system will include an interactive program guide and deliver video-on-demand, web-enhanced television, e-mail and interactive game services as well as cable television programming. Both companies are to collaborate on additional digital entertainment services. Pricing details were not revealed. Reports suggested that Cablevision would be paying around $1 billion for the three million set top boxes it has committed to buy. The deal is not exclusive, meaning that Sony could use similar technology in conjunction with other cable partners.

Sony’s boxes will use the i.Link digital interface – Sony’s brand name for IEEE 1394 Firewire – and utilize the Digital Transmission Content Protection system. It will also incorporate HAVI (Home Audio Video Interoperability)-based home networking software and Sony’s Aperios real-time operating system for hosting other applications. Further details about the hardware were not revealed.

Back in July, Tele-Communications Inc also agreed to adopt Sony Corp’s Aperios real-time operating system for use with its digital set-top devices, to be made by General Instrument Inc. Those boxes, co-developed by Sony, will use the MIPS R4000 CPU. Motorola Inc agreed to acquire General Instrument earlier this week.