The case chronicles the development of the TV broadcasting industry in the US, the entry and growth of cable and satellite operators, and the assault by Mr. Murdoch's News Corporation on US satellite broadcasting with the 2003 acquisition of DirecTV. Provided are: an overview of the dynamics and economics of terrestrial, cable and satellite TV, and the various competitors in the supply chain (studios, cable companies, telephone operators, satellite broadcasters) with a focus on DirecTV.
The case allows a discussion of various topics:
- CRITICAL MASS
- FIRST MOVER ADVANTAGE / DISADVANTAGE
- DISRUPTIVE TECHNOLOGY
- TECHNOLOGY CONVERGENCE
- DUOPOLY / GAME THEORY
- VERTICAL INTEGTRATION