Again, I've worked in the hotel business for 26 years and lot of tv ads and vendor info sheets have come across my desk and I don't think I ever saw anything like that. I know it's not for pay per view movies. At that time (remember this is pre-digital) pay per view systems were in big cabinets about the size of a refrigerator and all the equipment was rack mounted inside. They had a small monitor at the top and banks of a couple dozen vcr's below. They wouldn't have a system with just one vcr. That unit also wouldn't be in a guest room as the screen is too small. When I started in the 80's the minimum any chain required was 19", which slowly went up to 25", and now most have to have 32" or better flat screens in the next couple years.
What I can see is that it could be part of what we call a back of the house or back of the line equipment such as a security camera. Or maybe it feeds a dedicated information channel, like channel 3. I remember seeing a sewer line scoped out with a robotic camera around then and they had a vcr tape of it. Maybe it was used for something like that?
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