We're doing something similar
Ra Media has entered into a partnership agreement with three other companies. One is based in Montreal (hardware manufacturer) and the second is in Europe (back-end support), and the third in Toronto (licensing).
We will be launching set-top boxes as well although we will not be charging a fee for the box itself. Instead of a 15 day trial offer, we are giving the boxes away for free provided that the subscriber agrees to a minimum 4 month subcription period.
There isn't any point in selling the boxes as they will become obsolete within one to two years. All that's required to bypass the box is a chip in your tv that allows you to log onto the web, which is well on the way.
I believe the deal should be in the content that's provided.
We are currently in negotiations with several front-line production companies in an effort to obtain exclusive streaming rights for these units. I think it's a product who's time has come. Moreover, it allows the little guy to become a micro-broadcaster provided that they have the content to offer.
Further to this, we will also offer our subscribers a Master Card debit card. We just recently obtained authorization as a credit card net billing solutions provider (similar to CCBill/IBill) although with our system, there will be no charge back penalties for the webmaster. Moreover, our commission will be much more in keeping with commercial bank rates.
The unique aspect of the card is that it will allow our clients anonymous use of that card when paying for things such as on line purchases, excursions to your fave MP/SC, etc. They can choose to keep their name off the card itself. All they need is a pin number.
For our net billing clients, they don't even have to worry about bank to bank transfers. Their profits are automatically transfered onto their debit card.
To the best of my knowledge, I don't believe there is a similar system out there that can provide such ease of use but I could very well be wrong.
We should be up and running with it within 4 weeks. The set top boxes should be in place within a couple of months. We're gunning for September.