Phonevision was a project by Zenith Radio Company to create the world's first pay television system.
[2] In 1950, in preparation for the public pay television test, the experimental station moved from the Zenith factory to the Field Building and became KS2XBS.
In 1954, Zenith resumed testing in the eastern United States (on WOR-TV in New York City, now WWOR-TV and licensed to nearby Secaucus, New Jersey) and later negotiated foreign contracts in Australia and New Zealand.
In spite of its failure to gain national success, a significant amount of publicity and advertising for Phonevision was created for a short time.
The concept behind Phonevision involved making feature films available to home viewers at $1 per movie (11.74 adjusted for inflation).
Viewers were required to purchase a descrambler unit that sat on top of the television, plugged into the TV's antenna leads and also into the telephone line.
[6] The system operated by switching a delay line in and out of the video, which chopped the picture into slats (like looking through an open venetian blind).