The "Sweet Spot" Of The Telecommunication Industry

Main Product/Service                                                                                          Cable Systems are companies that add the operate of sending crinkle boob tube signals by means of with(predicate) a close channel, a coaxial or fibre-optic occupation television swear out, into the homes of its subscribers (#1, p. 117). This signal provides television programming, often like that of broadcasting companies, to viewers across its go area. More recent expanded areas of cable systems include high-velocity internet connection, digital cable service, and its closely recent using of video-on-demand (VOD). Producing Income                                                                                          The main way in which cable systems generate their tax is through subscription fees paid by viewers to receive their serve (#1, p.174-176). These fees can run anywhere from $30.00 - $100.00 per calendar month depending on the design of the function received. Additional income is also provided through expanded services such as cable modem service (approx. $50.00 per month) and one-time purchases such as VOD and pay-per-view features.         Some revenue is also generated through advertising on cable ne iirks, although this is a much less profitable puzzle out of generating revenue. This lean toward not relying on cable advertising is imputable much to various(a) advertising restrictions among networks and a lack of statistical information round cable audiences, compared to that of broadcast (#1, p. 184).

Profitability                                                                                  Revenues for the two major cable systems, AOL Time Warner Cable and AT& adenylic acidere;T Broadband dont seemed to be hindered by the recent threats to kale posed by the chop-chop emerging satellite industry. At the close of 2001, both this giants evinceed revenues closely over the $9 one thousand thousand mark, and dont show any signs of slowing down (#7 & #8). In actuality, further expansion and profits seem needful as business ventures, such as the recent proclamation of... If you deprivation to get a full essay, order it on our website: OrderCustomPaper.com

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