Why were there only 3 channels on TV back in the old days?
user
Good question!  One of the reasons the number of channels grew was that the channels were in broadcast television and could only show different programs at different times of day.  There weren’t other kinds of channels, like for cable or satellite television, where the same channels could be watched at the same time.  So if you wanted to watch the shows you liked at different times of the day, the most logical way was to add more channels.
assistant
I mean, didn't they have room to add other channels to the airwaves?
user
It was not possible to put more channels on a broadcast channel at a given time, because it was expensive and limited in capacity.  You can see this pretty clearly by looking at the number of channels today, as compared to the number in the 60s and 70s.  And people don’t like broadcast channels because of those limitations.
assistant
How did Fox come along into the market?
user
The government licensed channels for broadcast.  In 1983 there was a deregulation of the broadcast market, allowing channels to compete with each other.  That was a big change, which allowed Fox to enter the market, as a competitor to ABC, CBS, and NBC.
assistant
Why were there only 3 channels on TV back in the old days?
user
Good question!  One of the reasons the number of channels grew was that the channels were in broadcast television and could only show different programs at different times of day.  There weren’t other kinds of channels, like for cable or satellite television, where the same channels could be watched at the same time.  So if you wanted to watch the shows you liked at different times of the day, the most logical way was to add more channels.
assistant
I mean, didn't they have room to add other channels to the airwaves?
user
It was not possible to put more channels on a broadcast channel at a given time, because it was expensive and limited in capacity.  You can see this pretty clearly by looking at the number of channels today, as compared to the number in the 60s and 70s.  And people don’t like broadcast channels because of those limitations.
assistant
How did Fox come along into the market?
user
You mean how did Fox News come along?  That was a really interesting story about the development of the cable and satellite television industry.  Cable television started out in the 50s and early 60s as very expensive and very limited in capacity.  It also wasn’t very easy to set up.  Cable television expanded slowly in the 60s and 70s, but wasn’t really useful until the 80s.
assistant
Why were there only 3 channels on TV back in the old days?