Cable & Satellite TV Comparison

Cable companies generally charge an installation fee for their service. Satellite TV installation can be done by the customer for free or contracted with the company for a fee, and the cost of a satellite dish must be factored into the total. Monthly fees for cable TV are generally higher than those for satellite TV, because cable services are taxed and there is a rental fee for equipment. Prices may vary according to the length of your contract.

Cable TV requires less equipment than satellite TV. A rented receiver is required for each TV and is returned when service is discontinued. Satellite TV also requires receivers for each TV, most of which are equipped with digital video recorders. A satellite dish is also required, which must be located outside the house and have a clear view of the southern sky. Satellite TV equipment is usually purchased by consumers.

Cable TV offers analog and digital channels. More channel choices are generally available with digital cable than with analog cable. Digital service is also more interactive than analog and typically offers stronger signals and better picture quality. All satellite TV channels are digital, offering uniformly good reception. But reception may be subject to interference during periods of wind, rain or snow.

Cable TV offers at least 20 basic channels, 50 to 60 standard channels and 200 to 300 additional channels available in packages at different price points. Local broadcast channels are required by federal law, but the operator has broad discretion beyond that as to which channels are offered. Cable TV companies generally offer between 80 and 120 high-definition TV channels and a wide variety of on-demand programming. Satellite TV offers 40 to 50 basic channels and 140 to 250 additional channels, as well as 140 or more high-definition TV channels. Movies, simulcasts and sports channels are highlights of satellite TV, whereas local broadcasts are less likely to be available.

Cable TV availability relies on the ability of the provider to run a cable into a customer's home. This restricts it to more urban areas. Satellite TV is available anywhere that a satellite dish can be placed with a clear view of the provider's satellite. In many rural areas this is the only option.

Both cable and satellite TV companies offer what is known as "triple play" service: television, telephone and Internet services combined in a single plan, often at a discount. Cable companies can deliver all three services, whereas satellite companies must partner with a communications company to deliver telephone and Internet access.

JD Power and Associates rates satellite TV higher than cable TV in service and support satisfaction. Satellite TV reports outage rates at one percent nationwide, while cable TV reports outage rates at three percent.