Using industrial organization theory as the theoretical framework, the purpose of this study is to examine the relation between market competition and the media performance of Taiwan's cable television industry. To measure the variable of media performance, this study focused on 6 indicators: subscribers' satisfaction, penetration rates, subscription fees, the number of channels, the net profits of system operators, and customer service. To collect data for this study, 2 research methods were adopted: intensive interviews directed toward 64 system operators and a telephone survey involving a probability sampling approach with 2,642 valid questionnaires.