Adoption and Diffusion of Digital Cable as Complementary Infrastructure for Content and Information Services

In this paper, we analyze the adoption and diffusion of digital cable for content and information services with a focus on the United States. The cable industry, traditionally a major segment of the video content services industry, is confronted with infrastructure alternatives. Satellite services gain increasing market and profit share on the content platform. New technologies such as Digital Video Recorders cause shifts along the value chain. Concerning information services, the recently enhanced cable infrastructure in the US has allowed cable operators, also known as 'Multi Service Operators' (MSOs) to compete with 'Incumbent Local Exchange Carriers' (ILECs) in the market for broadband Internet access and advanced information services. This RIP analyzes MSOs in both markets and finally assesses MSOs concerning their future role in both competitive arenas.