Virginia Tam wrote: "I think it is just wrong that US can't view the BBC iplayer. It is because UK residents pay TV license tax which funds BBC programmes".

I don't think it's wrong at all. You more or less explained why in your second sentence.

I personally can't even use iPlayer myself even though I'm helping to fund it as I'm not on a broadband connection. The same goes for a lot of digital content/format like HD too. I'm not really sure why I should pay for it and not have access to it but people who don't have to pay for it in the first place can have access to it.

The BBC aren't unique in blocking like this either. US-based sites can also lock out non residents. I know HBO have definitely done this in the past, for example.