Cable vs satellite TV. So how do they measure up when doing a side by side comparison? While we are strong believers in satellite TV, there are some areas where cable TV might be the right choice. Let’s review how cable and satellite TV stack up with each other in several areas. We will consider pricing, programming, and convenience, content such as HD, and of course a few other things along the way.
While it is impossible to cover all of the various factors involved when comparing cable vs satellite TV, a brief overview is in order. Most are familiar with satellite TV companies Dish Network and DIRECTV. These companies came on the scene in the early 1990’s when technological advances made it possible to deliver television to the home via small satellite dishes. No doubt some enjoyed satellite TV prior to this, though they probably didn’t enjoy having the eyesore that was a 10 foot satellite dish sitting in their backyard. While DIRECTV and Dish Network have often been the talk of merger activity over the years, both have settled into their respective positions as dominant players in the pay television arena.
Cable TV is quite a different story, as there are literally hundreds of cable operators in existence today. For the purposes of this discussion, we will focus on the main players, the largest cable TV companies in America today. Comcast, Time Warner Cable, Cox Cable, Charter Cable and Bright House Cable are probably the companies that most Americans have experience dealing with, as these serve most of the major metropolitan areas. For now we will leave out Verizon Fios and AT&T U-Verse, telecom operators that are moving into the cable TV business through their network of telephone lines.
When comparing cable TV to satellite, the main consideration on many minds is the price. With the economy like it is today, people are looking to make every dollar count, whether it be with the cable TV company or the satellite TV provider. Fortunately for consumers, both cable and satellite TV companies are doing everything in their power to sign up new subscribers. This means a good deal for the customer who is moving or looking to switch their service. DIRECTV TV deals include discounts for the first year of service, reduced or free equipment such as an HD DVR, and free movie channels like HBO and Starz for at least three months. Dish Network offers similar discounts, free movie channels for a few months along with free DVR equipment. Instead of a monthly discount on the price for the first year, Dish offers a few bill credits as an incentive over the first two years of service.
Cable TV discounts vary based on what promotions the company is running at the time. Most cable TV promotions for new customers involve triple play bundles. These packages include not only digital cable, but also high speed internet and home phone service. Comcast, Time Warner cable, and Charter all offer these types of bundles. While the terms and conditions on these cable TV deals vary, usually you can get all three services for around $99 per month for an introductory period, usually anywhere from six month to a year. While there are certainly pros and cons to consider with this kind of cable TV deal, the price usually can’t be beat for customers who want all three services. If you’re not in the market for phone or internet service though, satellite TV is the better way to go.
What about regular pricing when comparing satellite TV with cable? Most folks who have had cable TV inevitably become frustrated with the high price, and more importantly the constant rate hikes. Overall, Dish Network has the lowest regular prices, followed by DIRECTV. Dish Network also has new all-HD packages that are extremely affordable, though the channel selection is limited with Turbo HD. Cable TV is reasonable when you stick with packages like the Comcast basic cable package. Anytime you get into digital cable without a bundled discount, you will be paying some of the highest prices out there when it comes to pay television.
The next area to consider is content, what sort of channels are available on cable vs those on satellite TV. While both cable and satellite have comparable channel lineups, a big difference can be found in one particular area-HD or high definition. In this area, satellite TV dominates cable TV in most areas of the country. This is due to the delivery mechanisms used by satellite TV, which are much more conducive and flexible when it comes to adding new content like HD channels.
DIRECTV led the pack, with a rapid expansion of their national HD lineup in 2007. While Dish Network was a little late to the party, they have caught up with DIRECTV in 2008, as both satellite TV companies now offer in the area of 130 HD channels. Many of these though are pay-per-view HD channels, so the number is a bit skewed for marketing purposes.
With cable TV, the number of HD channels will vary widely depending on your cable company, and the size of the community you live in. For example, Time Warner Cable has been expanding their HD lineup in the past few months, especially in highly populated areas. If you live in New York, New Jersey, or Dallas, there is a good chance you can get about 100 hi-def channels. The same is true with some areas served by Comcast, such as Atlanta or San Francisco. But if you don’t live in one of the major markets served by one of the big cable TV companies, you will probably be extremely disappointed by the lack of HD content offered. An example of this is Charter cable, where you can consider yourself lucky if you even have 40 HD channels. Overall, if you have a definite desire for HD, satellite TV beats cable in this area.
What sort of equipment considerations are there when considering cable versus satellite TV? Usually you can get set up with either cable or satellite without any out-of-pocket costs. The real consideration is whether there are any monthly fees associated with leasing the equipment. DIRECTV and Dish Network will both set you up with free installation of service in up to four rooms of your home. You may have an upfront cost if you want to have DVR service in more than one room, check with your preferred satellite TV provider to find out exact charges. Usually the monthly cost for DVR service ranges from $5-7 dollars a month, though some satellite TV packages include this fee in the monthly price for the first TV.
With cable TV you will find similar charges. You can save some money monthly if you accept an analog signal instead of a digital cable box. Having digital cable boxes in several rooms in the house can really add up, as the fee is usually $10 or more per month per box. One area where some cable TV companies are really high is for DVR service. With Comcast’s recent price increase, customers are now paying more than $15 a month for DVR service with cable TV, quite a difference than DIRECTV or Dish charge.
As far as the quality of the DVR’s used by cable TV and satellite companies, Dish Network is recognized as having the best DVR units on the market currently, just a step below TiVO devices. The DIRECTV DVR and cable TV DVR units are comparable, but aren’t anything special. TiVO does have agreements in place with some cable TV companies, allowing subscribers to hook up their TiVo’s to cable. Expect an additional monthly fee though for the TiVO service. DIRECTV and TiVO have inked a new agreement, and new HD TiVO devices supported by DIRECTV are expected on the market in 2009.
One final factor when it comes to equipment is the delivery method used. Satellite TV of course uses a dish which has to be mounted outside your home or apartment. Unfortunately, this shuts out completely some individuals who would like to have satellite TV, but can’t because they live in a condo or apartment. Dish Network and DIRECTV are working on new initiatives that will allow more people living in condos and and apartments the ability to subscribe to satellite service. One of these is a multi dwelling unit or MDU system where Dish and DIRECTV will work with building owners, placing the satellite dish units on the roof for the whole building. Another option for those who have their own patio or deck is to have their dish placed out there. Some landlords and condo associations frown on this, but recent FCC rulings have upheld the rights of tenants to have satellite dish units placed or mounted in these areas.
Signal quality and customer service should also be examined when comparing satellite to cable TV. With satellite TV, you have a 100% digital signal. Both Dish Network and DIRECTV offer this, so you are guaranteed to have excellent audio and video quality. With cable TV, you may not have as good of a signal. That is because in many areas, cable TV is not yet digital; they often use analog or a mix of analog and digital in delivering the stations to your home. Ordering digital cable is the solution to this, but of course there is a good chance you will run into additional charges for each digital cable box in your home. If you want guaranteed digital video and audio, the satellite TV is the choice over cable TV.
When it comes to customer service, it seems that almost everyone has their own cable TV horror story. Whether it’s the installer that never shows up, or the endless hold times that have to be endured when you call, cable TV companies certainly aren’t known for great service. Customer satisfaction surveys bear this out as well, as recent surveys places both Comcast and Time Warner cable (TWC) at the bottom of the barrel compared to satellite TV providers. DIRECTV came in 1st in last year’s survey, while Dish Network came in second place. Customer service is certainly a consideration when comparing satellite to cable, especially if your blood boils when experiencing poor customer service.
Video on demand, or on-demand is another area to look at when judging cable against satellite TV. Here is one place where the big cable companies have really differentiated themselves from the pack. Comcast, Time Warner, Cox cable and Charter all have invested millions in their on-demand lineups in order to attract and retain customers. Comcast has even deployed a project called Project Infinity, which is designed to offer customers 1,000 HD choices at any given time.
Though Comcast may have the most on-demand, other cable TV companies offer plenty of content as well. If you have a premium movie package like HBO or Showtime, you can use the on-demand platforms to watch movies and exclusive series whenever you want with on-demand.
Satellite TV on-demand is still a work in progress. Though DIRECTV has officially launched its own on-demand platform, it is nowhere near as robust as that offered by big cable TV companies. The main problem is that you have to download on-demand content through a high speed internet connection, and high speed internet is often difficult to come by in the areas where satellite TV is popular-rural America.
So there is a brief rundown of the cable vs satellite TV debate. Obviously there are plenty of pros and cons on each side, but it is easy to see why satellite TV has become so popular and has taken away so many cable TV customers in the last 15 years.
{ 18 comments… read them below or add one }
If you can get the same channels for the same price (which you probably can’t) I’d take cable every time – better picture quality and no worries about interference from the elements.
Thanks for educating on satellite Vs cable Tv and their differentiation.Not all satellite TV for pc software programs are good, in fact some are total rubbish.
Satellite tv is a joke, constant outages, poor service and incompetent technicians. While cable aint much better, I’ll take them any day over what I used to experience with my satellite dish
Nice review of the pros and cons of satellite tv and cable service. I’ve had both, and I am just so much happier with satellite. The price is better, the quality is outstanding, and overall just a better value. Plus the direct tv dvr is so much better than my old comcast dvr.
Thanks for the advice, we currently have SKY which goes through a sattalite dish. But soon cable will be enabled in our town giving us the option for either or.
i blood boils when experiencing poor customer service.
Video on demand, or on-demand is another area to look at when judging cable against satellite TV. Here is one place where the big cable companies have really differentiated themselves from the pack.
After dumping cable for satellite TV about three months ago, I have to say I am really impressed with Dish Network and how much better they are compared to cable. I only wish I had compared cable vs satellite TV much earlier and i wouldn’t have wasted so much money paying Comcast through the nose.
great write up on the options between cable and satellite. in my area, I think cable is the only way to go. we not only get our tv from it but our broadband internet as well. I can’t imagine life without that (I wouldn’t be here right now)… so for now I shall live with Cox.
show displays
I’d still go with cable tv systems. Satellite systems are prone to lots of interference. I have been a happy subscriber of cable tv for 10 years already. Unless a very convincing scenario will show the superiority of satellite systems over cable systems hands-down, I would rather stick with my cable company and enjoy those clear channels. Thanks. Vince
Well, We’re thinking of getting cable. We’ve had satellite TV and we’re pleased with it for the most part, but in this part of the country (Oklahoma) we get a lot of thunderstorms and even a shower can sometimes make the satellite go out, and we’re getting real tired of it. Is cable TV underground? If so, would it be advantageous to us to get cable? what do you think?
When we compare cable TV and satellite TV mostly it differs from cost, picture quality, program choices and finally customer satisfaction. When we compare fee structure as compare with the channel satellite TV is much better as it cost around $41 per month with 115 channels but in cable it provides 64 channels in $37. In customer satisfaction Cable TV outages average of 3% to 5% per year and in Satellite TV it outages average about 1%. So I think both are not good not bad it’s an average as compare to each other.
This is a nice blog. Both have some advantages as well as disadvantage, but when satellite TV is compared to cable. satellite TV has better sound quality and a better clarity as compared to cable. If there is fault in the cable wire then we will not able to get a better quality picture as well we can’t get a quality sound. so it is better to use a satellite TV.
Satellite TV is outdated I find. Cable is a lot more versatile.
I currently have SKY which goes through a sattalite dish. But sooner or later hoping to get the cable as well
I trust cable television because of quality and ease of service. I have comcast at home and I am their customer since 3yrs now without any complaints. sometimes their pay per view rates are high but normally we don’t watch pay per view programs.
Had Cable and had Direct . Signed up with Dish a year ago. I enjoy dvr on Dish but a lot of the silection process to accomplish recording and how to handle all the choices that are available of the Dish operation, “what they are and how to accomplish them”, are very complicated and my wife has a difficult time with them. Great is the device, that by the push of a button, you can save the program you are watching and come back and see the rest of the program when you come back to it. Also it is easy to Dvr the program you are watching and save it ’till later. All this and $5 a month for a $30 service call if needed.
Satellite TV only! I am tired of cable television. When you have a satellite you may decide.
I have been trying for about a year to have a problem fixed with Charter cable (so und comes and goes with 1 channel and they can’t get it fixed. Also, they don’t even check back to see if got fixed, some service.