Many cutters heat their styli to decrease noise levels and extend stylus life.  This is similar to a hot knife through butter vs. a cold knife through butter.

Most new styli come with nichrome wire installed. You may also wrap NOS styli with Nichrome wire.  Be sure not to allow the wire to come in contact with the metal shank.  Do not heat styli inside a crystal cutterhead (most home suitcase cutters)

Many companies manufactured stylus heater units but they very rarely surface on ebay ande webmail.

I have been told that the appropriate temperature of a stylus can be estimated by touching the stylus while being heated. It should be hot enough to hold your finger there for about a second, but no more.

One method for heating styli using modern equipment was described by user Markrob at lathetrolls.com: (http://www.lathetrolls.phpbbweb.com/lathetrolls-ftopic1338.html&highlight=power+supply)

 "if your looking for an idiot proof way to do this, consider finding an adjustable low voltage DC bench supply with adjustable current limiting. The advantage of one of these supplies is that you can run it in constant current mode and adjust that rather than voltage. The heater coil resistance is usually very low (a couple of ohms). So you are running into a nearly short circuit. If you run in constant current mode, the supply will float to the correct voltage to produce the desired current.

I was able to pick up an HP 6203B (0-7.5V at 0-3A) supply at a ham flea market for $25 or so. These are very high end supplies and probably overkill, but it works great. There are currently a few on ebay."

Markrob's Directions for use:
The way to setup for constant current is as follows:

1. Turn on supply with no load.
2. Make sure current adj pot is maybe 1/4 turn away from full CCW position (this is a 10 turn pot so you'll get very fine adjustment)
3. Set the Meter switch to 9 Volt position.
4. Check that you can adjust the output voltage from 0 -7.5 volts on the meter. Leave the supply set for full output voltage.
5. Set the Meter switch for .4A
6. Short the + and - terminals with a jumper wire.
7. You should now be able to set the output current to any value from 0-.4A using the current adjust pot.
8. To start, reset the output current back to zero and remove the shorting jumper.
9. Connect the heater wires to the + and - terminals and you should be go to go.

The supply will compensate for any voltage drop in you connecting wires. Slowly increae the heater current to desired level. If you need more that .4A, just change the meter scale to 4A so you can read it.