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Cable Television. about 70 percent of U.S. households have cable TV.

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Presentation on theme: "Cable Television. about 70 percent of U.S. households have cable TV."— Presentation transcript:

1 Cable Television

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3 about 70 percent of U.S. households have cable TV

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5 Top 25 Cable Systems Top 25 MSOs Top 25 MSOs (Multiple System Operator)) Cable Networks

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7 Ted Turner

8 Ted Turner and Jane Fonda

9 Rupert Murdoch

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13 Cable and Satellite: Early Years Late 1940s: CATV (Community Antenna Television) Used to bring broadcast signal to people in…..

14 Cable and Satellite: Early Years Rural mountainous or hilly regions

15 Cable and Satellite: Early Years big cities (tall buildings)

16 Cable HELPED broadcasters get their signal to a wider audience…. But then Cable began to THREATEN, not help, broadcasters….

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19 Cable and Satellite: Early Years Satellites: Envisioned in 1945 by science fiction writer Arthur C. Clarke (author of 2001: A Space Odyssey)

20 Clarke article, 1945

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22 Cable and Satellite: Early Years Clarke: imagined 3 satellites in geosynchronous orbit (22,300 miles from earth, traveling at 6,800 mph) In this orbit, satellites maintain the same footprint footprint

23 1958: First satellite launched (Explorer I) 1960: Echo satellite launched: (geosynchronous orbit)

24 First Communication Satellite Launched : TelStar 1962 (Kennedy era)

25 Today there are 2,500 satellites (operative and inoperative): J-Track/NasaJ-Track/Nasa shows 900

26 Did you know there are over eight thousand artificial objects orbiting Earth? Over 2,500 are satellites, operative and inoperative. The remaining objects are orbital debris: parts such as nosecone shrouds, lens, hatch covers, rocket bodies, payloads that have disintegrated or exploded, and even objects that "escape" from manned spacecraft during operations. --NASA

27 FCC protects Broadcasting The Must Carry rule –Local Cable company MUST carry local broadcasting Channels s - Franchising begins –Only one cable company per municipality –Competition to win cable franchises. –Usually a 15-year monopoly

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32 FCC protects Broadcasting (and supports democracy) 3. By 1972, all cable companies had to supply - Access Channels (PEG) Access Channels –(public, education, government)publiceducation

33 Bigger threat to broadcasting: New Content 1. HBO (1975) --just movies 2. Showtime (1976) --just movies 3. WTBS (1976): 1st Superstation

34 TBS: Logos, 1976 until today

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37 later other superstations: WGN [Chicago, 1978] WWOR [New York/NJ, 1978]

38 Satellites: New Content Cable begins to GROW CNN (1980) Chicken noodle network

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42 Satellites: New Content MTV (1981) (video killed the radio star)video killed the radio star

43 Discovery Channel, launched 1985 Comedy Central, launched 1989

44 = Franchising FRENZY Intense competition to acquire cable franchises

45 FCC Allows Cable to GROW: softens rules (DBS is on the Horizon) Must Carry rules are relaxed –Every three years, choose Must Carry (no $) or Retransmission Consent (get $) –Some large broadcast station chains use Retransmission consent to leverage new cable channels Public access rules are eventually relaxed

46 Fox News --network launched 1996

47 Fox News --network launched 1996

48 Cable Programming: Narrowcasting More than 250 cable video services offered nationally About 7,090 cable Systems Cable is available to 97% of all households 73 % of all U.S. households subscribe to cable (27 % use rabbit ears)

49 Cable Programming: Narrowcasting Network Broadcasting: satisfy the masses Cable Services: niche programming Planned and Existing Networks

50 Cable Programming: Narrowcasting GROUP PROJECT: Divide into groups of 6 Propose a new cable channel that does two things: a) It should find a unique market niche b) It should be successful: drawing an audience that appeals to advertisers (be ready to name advertisers)

51 Cable Programming: Narrowcasting RULE #1: IT CANT BE YOUR DEMOGRAPHIC Rule #2: It cant involve the 80s in terms Of programming or culture

52 Cable Programming: Narrowcasting Basic Cable - cable systems pay betweenBasic Cable –5 cents (C-SPAN) – more than $3 (ESPN) =per subscriber, per month (A la carte cable?) Premium Cable –HBO –Showtime Pay-per-view and Interactive Cable

53 Cable Programming: Narrowcasting VOD - Video on Demand. –Biggest new service. –For digital cable customers. – Downloads programs to digital cable set top box.

54 Ownership in Cable About Cable Systems Most of cable is controlled by MSOs (multiple system owners) Top 5 MSOs control about 70% of cable audience. (Comcast, Time Warner, Cox, Charter, Cablevision)Comcast, Time Warner, Cox, Charter, Cablevision –Prices keep going upPrices keep going up –Increasing amounts of advertisingIncreasing amounts of advertising

55 Ownership in Cable 1996 Telecommunications Act

56 Ownership in Cable 1996 TeleCommunications Act: – ended rate regulation. –Allowed cable and other businesses to enter each others industries (e.g., cable companies now getting into telephone service). –Despite promises, cable rates have REMAINED HIGH AND INCREASED. –Less than 5 percent of cable customers have competition, which lowers prices significantly –(Cedar Falls example).

57 Video: Cable and the 1996 Telecommunication Act

58 Ownership in Cable Cedar Falls Utilities (also Spencer, Hawarden, Larens) have invested in city-owned cable operating systems. Ensured that Cedar Falls was part of the Internet revolution early on.

59 Broadcast Satellites DBS: DIRECT BROADCAST SATELLITE = BIG THREAT TO CABLE

60 Broadcast Satellites How satellite companies operate C-Bands: Huge dishes

61 Broadcast Satellites Ku-bands: DirectTV /News trucks, etc.

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64 Vincor: satellite company

65 Broadcast Satellites mid-1970s. Big Dish ( feet) satellites appear in rural areas DBS (Direct Broadcast Satellite) television begins. (3 feet or less) DirecTV (owned by News Corp.) and EchoStar are the main corporations.owned by News Corp DirectV merges with Echostar, FCC JUST APPROVED IT BUT NOT QUITE DONE YET

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67 Broadcast Satellites Satellite Radio –XMXM –SiriusSirius

68 Broadcast Satellites Satellite Radio –XMXM –SiriusSirius INTERNET: download & Stream programming


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