History of DIRECTV

Written by: Rick Taylor - Nov 21, 2008

Headquartered in El Segundo, California, DIRECTV is the leading digital satellite service provider in the United States and provides HD Satellite TV service to over 17 million subsribers. The following is a rough summary of its impressive history:

Before 1984, satellites could carry only one communication channel per each transponder which limited satellites to a maximum of 24-32 communication channels per satellite - not enough bandwidth to support a commercially viable broadcasting system that could compete with established cable TV companies.

By 1984, Hughes had developed very high power satellites that could use digital compression (MPEG 2) standards that, for the first time, allowed multiple digital television channels to be sent through each individual satellite frequency. Hughes was approved by the Federal Communications Commission (FCC) to use their newly-developed technology to construct a Direct Broadcast Satellite (DBS) network.

In 1990, Hughes Electronics launched its DBS network, founded DIRECTV, and landed over one million satellite TV subscribers by the end of that year.

A DIRECTV/USSB partnership was formed in 1991, as DIRECTV's parent company, Hughes Electronics partnered with United States Satellite Broadcasting (USSB). USSB agreed to purchase 5 transponders aboard the future DIRECTV DBS-1 satellite to broadcast premium movie and pay per view offerings.

In 1993, a Hughes satellite was launched at the 101 degree west satellite location. This DBS-1, a high powered commercial satellite, carried a payload of 16 circularly polarized DBS Ku band transponders, each broadcasting at 120 watts per transponder. The new DIRECTV system quickly became one of the hottest-selling consumer electronics products of the year in 1994.

In the fall of 1994, a second DIRECTV satellite, DBS-2, was launched. This satellite enabled expansion of DIRECTV's programming to nearly 150 channels. In comparison, cable vision systems at that time offered an average of only 30 analog channels.

In the summer of 1994, DIRECTV introduced digital direct to home satellite service that was delivered via a small 18" satellite dish and set top receiver and offered two satellite services: (1) DIRECTV's delivery of most of the cable vision favorite channels and network feeds, and (2) USSB's delivery of premium services such as movie channels, such as HBO and Showtime, as well as pay-per-view sports.

By 1998, DIRECTV had over 4 million subscribers and purchased its partner, USSB, for over $1.3 billion. The acquisition provided DIRECTV customers with access to USSB's premier movie broadcasting and increased channel selection from 185 to 210. In July, DIRECTV invested $250 million in XM satellite radio.

In 1999, DIRECTV acquired Primestar, Inc. and its 2.3 million subscribers. As part of the deal, DIRECTV secured Primestar's satellite assets (11 transponders and two satellites) which added high-powered DBS frequencies to provide full coverage of the continental United States. In addition to the Primestar acquisition, DIRECTV launched a new satellite of its own, DIRECTV-1R on October 10, 1999.

In 2003, DIRECTV introduced a new high-definition video recorder jointly engineered by DIRECTV and Tivo as well as a second-generation set top box model through a partnership with Philips.

On November 11, 2003, DIRECTV added its 12 millionth subscriber.

DIRECTV currently has over 17 million subscribers and remains the top United States consumer satellite provider as it continues to expand its offerings through high-definition and entertainment packages such as NFL SUNDAY TICKET and TOTAL CHOICE® Mobile programming.