cans (and most of the media) have only learned about satellite TV in the last two years. Indeed, DBS represents the most successful consumer product introduction in history, easily outperforming CE stalwarts like the color TV, VCR and CD player. The industry survived not only because it has a good product but also because many of those early pioneers simply wouldn't let the dream slip away. Those pioneers, carrying the scars of their battle, are now leading this industry into the "digital information age" of the 21st century.2.DBS Manufacturers and Satellite TV Service ProvidersManufacturersTwo service providers dominate the DBS industry in the United States. DirecTV, an El Segundo, California-based subsidiary of GM Hughes Electronics, holds the top spot with 4.8 million subscribers. Littleton, Colorado-based EchoStar Communications comes in second, with about 2 million subscribers.Product AnalysisHughesDirecTV became the fifth-largest pay television provider in the United States in its first five years of operation. In an effort to expand its subscriber base, the DBS giant signed marketing agreements with Bell Atlantic, GTE, and SBC Communications that allowed DirecTV to offer its satellite services to the companies' customers. To gain greater channel capacity and further seal its lead in the market, the company bought United States Satellite Broadcasting for $1.3 billion in 1998 and Primestar for $1.8 billion in early 1999. Immediately after its buying spree, DirecTV carried all three brand name DBS services under its umbrella.The DIRECTV service provides 175 channels from a cluster of three High Power DBS satellites. Its partner, United States Satellite Broadcasting (USSB) of Minneapolis, uses the same satellite cluster to transmit a complementary 25-channel premium movie option. About 2 million DirecTV subscribers have already signed on for the optional USSB movie package. DirecTV/USSB is the fastest-growing DBS service, ...
