With this it is:
Cable Modem/Slingbox -> Router/Firewall

The Slingbox is outside of the router, so no router configuration to get the streams out of the network. And most home routers are configured out of the box to allow devices on the LAN to connect OUT to devices, so it should work without any effort for LAN clients as well.

While it has an analog cable tuner, you can think of it as a Slingbox SOLO and a DOCSIS 2.0 cable modem in one box. It relies on an external source – cable box, TiVo, etc. And while it doesn’t have pass-through connectors, the Slingbox AV didn’t either. Many STBs have a second set of outputs, and you can always split one set to two devices. And the analog cable tuner is enough for anyone with just basic cable, which is likely to be the less tech savvy users as well.

Yes, you would need to have this co-located with your A/V equipment. But a growing number of people are doing that. You don’t need to have a second cable drop somewhere else, and with WiFi just where the cable modem is doesn’t matter as much, if at all. It is no longer critical to have the data connection co-located with the computer as home users increasingly use WiFi for all of their networking.

And, of course, there is the business opportunity to market this product to user through cable MSOs, as well as at retail as an option instead of two devices – a cable modem and a Slingbox.

It is another product in the family, and while it won’t be for everyone (for example, I have DSL not cable broadband), that’s why you have a family of products. Different offerings for different markets.

Disclaimer: To reiterate, I’m currently employed by Sling Media for my day job.

So it needs a set top box to actually get a full complement of programming? (No cable card slot, so even if it can decode QAM, it can’t get the encrypted programming). And without loopback, it needs a dedicated STB? Even if it didn’t, it seems like you’d need to have your TV viewing equipment and home networking equipment in close proximity to utilize this device (which I do, but I know not everyone does or wants). Plus it needs to be hooked up to a router to service a home network?

I guess like some VOIP products, it’s an attempt to get the high network-utilization device as close as possible to the main internet connection, but overall it seems to me like a mediocre solution to a non-existent problem.