In television broadcasting, the Network Era refers to the period in American television history from 1952 to the mid-1980s, when the television market was controlled by a few large television networks, ABC, CBS, and NBC. This determination is established by institutional aspects that regularized television for the majority of the country, including the color television standard option. Early television evolved from the network organization of radio in the early 1940s. The three networks that rose to dominance, NBC, CBS, and ABC, were nearly non-conglomerated corporations that were based in the business center of New York City. These networks were first established by radio and played a significant role in post war American identity. Because they had exclusive control of the market, there was no incentive for these corporations to take a financial risk in creating shows that catered to niche audiences. Conventions that defined the network era such as the television set, antenna and 30-second advertisements were not established immediately. Film studios and independent television producers had only three possible places to sell their media, so they were forced to comply with the practices established by the networks. Early television, like early radio, had only one advertiser that usually sponsored a single program. The networks eliminated that format and changed to multiple corporations purchasing commercials. In the 1950s the network era advertising style turned into a single sponsorship style with the corporations being more about selling a product rather than an image. With this change, the broadcast had more control over the network because they had a magazine style format for advertisers. The thirty second ads dominated during the network era. While initially the single sponsorship system worked, it soon became clear this advertising strategy could not afford to pay for the continuous production cost. Scandals also became an issue with this system and this only further contributed to the development of a new advertising model called the "participation format." For all involved, except the viewers,the participation format proved to be a far more beneficial advertising format. Not only was this system more cost sufficient in the production of television, networks also began to have a broader blend of advertisers. Television viewers of the network era had very few choices and extremely limited technology. The viewers were receptive to the fact that there was limited programming choices. The viewers had to base their daily duties around the television schedule that the networks had mandated. Despite obvious setbacks, the television was cutting edge technology that created a huge demand for everyone in the United States to purchase one. By 1970 only 32 percent of homes had more than one television set in the United States. Television programming was strictly uniform and these basic characteristics contributed to the programming strategies used throughout the network era. Technology got better during the multichannel television era, in the network era the television sets didn't have color or a remote control. The television viewers had to watch TV in black and white and they had to get up and turn the station manually. A fundamental aspect of the network era was the limited ability of networks to reach viewers, which defined how the television is essence, was used. Distribution windows were numbered as a result of producers reselling original-run episodes to international markets, independent stations and broadcast affiliates to combat the costs of deficit financing. Networks selected programs that would reach a wide range of people, such as family sit-coms, cop shows and game shows. However, networks still directed their programs to the white middle class. The network era featured extremely limited program genres and people became accustomed to the way television was. As the arrival of new technologies emerged it offered television viewers more choice and control. This eventually ended the network era and forced us to move into the multi-channel transition. Television, however, was not just a technology but also a set of experiences and practices associated with viewing it. During the Network Era, television acted as a cultural institution. It communicated values and ideas within a culture.
Distribution bottleneck
During the Network Era, the limited number of distribution windows created the 'distribution bottleneck'. Producers only sold series either to networks or to local stations - that allowed only a limited amount of programming to get through to viewers. Without personal recording capabilities and few alternative ways to receive programming, viewers had hardly any opportunities to re-screen content and never on their own terms. In 1994, fibre networks shattered the distribution bottleneck. With the cost of adding content close to zero, network owners profit from programs that create any increase in use, however tiny. Niche programmers no longer needed to produce enough content to fill a channel all day long. Instead, they can put any amount of it on a server, from a single ballet to a hundred operas, and charge viewers as much as the market will bear. The 'big three' ABC, NBC, CBS struggled harder to hold on to advertisers, which shifted their spending towards targeted media, and to audiences. Research suggests that, however many channels there are, people watch only seven or so. But the more channels they have, the less likely it is that ABC, say, will be among the seven. As viewers were freed from the slavery of schedules, and as cable and telephone firms encroach on the distribution end of the TV business, the broadcast networks ended up standing or falling purely as content providers.
