Straight Signals

• Every television station sends out broadcast signals from its tower. Those signals must travel in a straight line, which is why you can get only local stations using a regular antenna or rabbit ears (even network shows are broadcast from local affiliates). Eventually, the curve of the earth starts to interfere with those signals, and the farther you go from the source, the more likely it is that you won't be able to receive the station.
  
  

The Satellite

• A satellite fundamentally alters that equation by allowing the TV station to bounce signals off of it. When a broadcast satellite is launched, it attains a geosynchronous orbit. That means it moves at a precise speed, keeping it fixed above the same location on the ground. That gives it a far wider range to which it can beam a direct signal. The broadcast tower shoots the signal in a straight line up to it, and it then shoots the signal straight down to a satellite dish in a customer's home, eliminating the problems of more direct transmissions.
  
  

The Dish

• In order to work properly, the satellite dish must be pointed at a specific portion of the sky---the portion that contains the satellite. (You may notice that most or all of the satellite dishes in your neighborhood are pointed in the exact same direction.) The receiver on the dish receives the signal, translates it into viewing for your TV and breaks it down into individual channels that you can access with the channel button on your remote. That also allows the broadcast of programming guides directly onto the screen and pay-per-view functions that give consumers access to new movies and special events.
  
  

Different Channels

• Digital broadcast satellite providers pay individual channels a fee for the rights to broadcast their programming. A company such as DirecTV pays NBC, ESPN, Turner Classic Movies and other stations a certain amount of money, and the stations let DirecTV broadcast their signals to consumers. The cost is part of the monthly fee you pay for your satellite service. It also explains how satellite companies are able to group different stations into "packages" (some cheaper than others) to be purchased by consumers.
  
  

Other Features

• In addition to the satellite signals themselves, many satellite companies offer additional features within the receivers on top of your TV. Many receivers come with digital video recorder (DVR) technology, allowing you to pause and rewind live feed, or record and store programs for viewing later. DVRs represent a marked improvement over old VCRs because you can record and save hundreds of hours worth of programming, and don't need to bother with VHS tapes.