When assessing a technology-driven industry, the main outlined components can be seen through two main directions, the idea itself, i.e. the technology on which the industry is based, and the delivery, the provision of the product or the service of this industry to the consumer. In the first case the main participants are the scientists, while the second part is dependant on businessmen. Establishing standards and regulations by the government as an authoritative institution is an essential part of delivering the product to the masses, as well as providing the control. The latter being essential, its role in the development of the industry can be argued.
Taking the example of the broadcasting industry, this paper states that the driving force in such industry is directed by the competition between the first two components, i.e. between the scientists, and between businessmen, rather than the government’s oversight.
It can be seen that the developments in the broadcasting industry can be linked to two distinct directions, the developments of technology of the medium sending, carrying and receiving the broadcast, and the developments in the content, distribution and availability. The role of scientists can be seen through the developments of the medium, where such progression from radio, black-and-white TV broadcasting, color TV broadcasting, Digital Television (DTV) transmission, High Definition Television (HDTV) and etc, was driven through the developments in the technological aspect of the industry. Such developments can be linked to the competition between scientists, where each previous invention set the theoretical background for the others to develop and enhance, as well as to provide a competitive advantage over other products. Accordingly, the effect of such competition can be seen through the availability of the technology to the masses, where every new technological breakthrough or transfer to new technological processes implies the reduction in price in the previous generation. A recent example of the aforementioned can be seen through the scientific developments in the field of digital transmission, to which conversion “promises to enhance broadcast television’s competitive position (Head, 2009 ).
The competition between businesses is also a driving force in the development, where a contributing factor to the growth of broadcasting industry can be seen in the affordability of its technological mediums, i.e. televisions, receivers, antennas and etc, and the factor of “Free universal access” of the content, where the free appeal to customers and accordingly the role of advertisement as a business aspect, promoted the increase in the quality of the content and its free basis. The latter can be justified by the fact that users do not obtain technology, rather than they obtain content. Additionally, the competition between businesses can promote the scientific competition, through funding and establishing the guidelines for the research. In terms of content provision in broadcasting, it can be seen that such element is largely affected by advertisement, which in turn is promoted by business competition. Accordingly, it can be said that the advertisements placed, their number and the programs brought at their costs, are significant factors influencing the broadcasting industry (Gabszewicz, Laussel, & Sonnac, 2004).
On the other hand, assessing the role of government control, it can be seen that control is definitely an essential part in some aspects, where for example the standardization by the government of any particular technology provides an assertion of its future support (Huff, 2001). Nevertheless, such control in technological aspects is opposed by oversight, which the government might impose on broadcasting. In that regard, taking the example of the radio, it can be stated that rigid control over the radio in some countries, shifted the intention of broadcasting toward governmental influence over the content, while in other, such control merely indicated the level of censorship applied, and the standards of content that should be followed (Keith, 2007, p. 126).
It can be concluded that despite the role played by the government in the broadcasting development, it never was a force in promoting its growth. The private interest and the competitive advantage can be seen as the main factors, which contributed to the competition between businessmen and scientists, and which accordingly led to the gradual growth in the industry.
References
Gabszewicz, J. J., Laussel, D., & Sonnac, N. (2004). Programming and Advertising Competition in the Broadcasting Industry. Journal of Economics & Management Strategy, 13(4), 657-669.
Head, S. W. (2009). Head’s broadcasting in America : a survey of electronic media (10th ed.). Boston: Allyn & Bacon/Pearson.
Huff, W. A. K. (2001). Regulating the future : broadcasting technology and governmental control. Westport, Conn.: Greenwood Press.
Keith, M. C. (2007). The radio station : broadcast, satellite & Internet (7th ed.). Amsterdam ; Boston: Elsevier/Focal Press.