Abstract: The present invention is directed to a videophone system implemented over a cable television network. The instant invention provides a videophone comprising a camera for capturing images associated with a videophone signal, a videophone unit and a set top terminal or cable modem connecting the videophone to a cable television network. Videophone signals created at the call origination site are encoded and transported to a predetermined destination over an existing cable television network. The system uses IP addresses as phone number on the network. Additionally, transport of videophone signals between different cable systems is accomplished via a high-speed long distance data network, such as, for example, a satellite network, that provides communication between the headends of the different cable television systems. The set top terminal may be a conventional subscriber terminal, a cable modem or a subscriber terminal configured to operate as a cable modem.