The HDCP Repeater bit is a part of the High-bandwidth Digital Content Protection specification and applies to intermediate devices between the source device and the display. If an intermediate device is used but any of the components do not support the repeater bit, the HDCP encrypted connection will fail to pass video content.
A set top receiver connected to an A/V receiver via an HDCP encrypted connection may have trouble passing video signals through the A/V receiver even though a direct connection to the display seems to work fine. This relates to the HDCP protocol being sent and received, and the authentication process. This is not a fault of the receiver. Recently set top box manufacturers have become aware of this issue and some set top receiver manufacturers have already implemented firmware changes to their units while others are in the process of updating their units. If a set top receiver being used is having problems passing an HDCP encrypted connection video signal through an A/V receiver, contact the manufacturer of the set top receiver to see if an update is available.
The repeater bit is a part of the HDCP specification, which is available on the Digital Content Protection LLC web site.[1]
The specification defines repeater devices:
HDCP Repeater. An HDCP Device that can receive and decrypt HDCP Content through one or more of its HDCP-protected Interface Ports, and can also re-encrypt and emit said HDCP Content through one or more of its HDCP-protected Interface Ports, is referred to as an HDCP Repeater. An HDCP Repeater may also be referred to as either an HDCP Receiver or an HDCP Transmitter when referring to either the upstream side or the downstream side, respectively.
The specification also refers to a "Repeater bit" in section 2.2, protocol.