I don't see why it wouldn't work.
I have a pretty old Stargate with a JDS IR Xpander attatched and have taught it the ir codes for my TV, DVD etc and run one of the outputs off the IR Xpander to an IR block in the cabinet with the TV, DVD etc,
Never have spent the time to set it up for much automation but if my wife gets a phone call and the remote isn't handy, I use the IPhone with HSTouch to mute the volume.
Mormally I don't controll the cable PVR and things except with the regular controlls with buttons because for me I can feel the buttons with out having to look for, play, FF etc. With the phone I have to look at the screen to make sure I hit the right one.
If your equipment can handle descrete codes. IE: seperate on and off codes then you could do some real neat stuff once you figure out how to get them working.
I don't know anything about the ISY or Insteon so hopefully someone else will coment on those.
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Remember to have FUN....Sonny
HSPro, Stargate, IR Xpander, 4 channel Modulator, Davis weather station, X10, DS-10's, Zwave, Z-Troller, Smartstick, Intermatic, Schlage Link Locks and Trane Zwave thermostat, Home Server, Vista Media Center, ACRF, W800, RFXcom, OS temp sensors, Iphones, Genset, bunches of relays, wires etc
Lots of fun.
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