
subscription fees; however, with the culture of deregulation in the 1990s, they became
completely deregulated in 1999. As the industry grows, cable networks are increasingly
deriving income from
advertising
revenues as well.
The cable industry has always claimed that it provides a diversity of choices to the
consumer. The number of cable networks has indeed increased from 28 in 1980 to 174 in
1998; by 1998, over 57 percent of all subscribers received 54 channels or more. Home
Box Office (HBO) became the nation’s first pay-television network in 1972. The second
major network is Ted Turner’s Cable News Network
(CNN),
now a division of Time
Warner
. Other major cable networks include
MTV,
ESPN, TNN, C-Span, the
Weather
Channel and A&E. These networks televise
news,
music, sports, public affairs,
cooking,
children’s television,
science fiction,
women’s programming, etc. 24-hours a day to their
subscribers. Cable includes niches for Spanish-language broadcasting (for example,
Univisión) and other ethnic programming (for example, BET).
Cable claims to provide a great deal of family and children’s programming to its
subscribers, through educational and specialized channels (for example, Nickelodeon,
Disney,
the FOX Family channel). Providers also have attempted direct partnerships with
schools, with programs like Cable High Speed Education Connection, which provide
programming and cable Internet access to
K-12 schools which allow them in. Cable programming has wider impacts. A 24-hour
cable news channel, highlighted during CNN’s 1980
Gulf War
coverage, has changed
the landscape of news reporting. Broadcast network television news divisions are loosing
viewership and money. News has become more immediate, although some blame the
immediacy for a lack of in-depth reporting. ESPN and other sports media have not only
offered more traditional sports, but have fostered growing audiences for
soccer,
women’s
sports and alternative sports/recreations (for example,
cheerleading
).
HBO, being a premium channel where subscribers pay extra to receive its signals, has
showcased
Hollywood
and produced quality programming that has won frequent Emmy
Awards
. Cable television also gave birth to television home shopping with QVC and the
Home Shopping Channel. These networks provide a friendly homely environment
onscreen, hawking all kinds of products to the audience/customers, who also call in and
chat with hosts and celebrities.
This so-called diversity of choice is also a manifestation of niche marketing where
roducts are targeted and produced, no longer for mass consumers, but for particular
kinds of consumers. MTV, for example, promotes the importance of the teen and youth
market, which is perceived to have a great deal of disposable income.
Cable networks like CNN and MTV are not simply American, but global. CNN can be
watched in virtually all luxury hotels in the world, and MTV, with slight modifications,
has global pop affiliates. While programming is adapted to world and regional audiences,
an American story like the death of John F.
Kennedy,
Jr. dominated CNN worldwide.
In the late 1990s, the cable industry is also expanding into the
Internet
/online market.
Cable can transmit data much faster than traditional phone lines. Hence,
AT&T
bought
TCI and Media One in 1999, anticipating shifts in telecommunications wherever the
Encyclopedia of Contemporary American Culture 170