I don't think the cable companies would bite over this. More likely they would sue the company and sue the users- like the RIAA did with Grokster/P2P
Dear Buzz Out Loud Gang,
This issue has received a lot of buzz recently. The founders of Kazaa and Skype are working on a project called Venice that will bring IPTV or Internet TV for free to the entire world. According to the article, they are negotiating with TV networks and broadcasters all over the world to provide this programming. The service will be geared toward users that have broadband access. There have not given any specifications for the service or the method of delivery other than it will be designed with broadband users in mind.
Opinion: The U.S. cable companies will block this service because it will compete directly with their own content and programming. The cable companies will go to court to justify and successfully block the service on the grounds of a little known clause in the cable service contracts which entities them to regulated, allow or block whatever content that is pushed through their network. Because this will be unregulated entertainment, the FCC will go along with the Cable companies. I think that we will see the first real test of Internet neutrality when this happens.
That is my opinion...what's yours?