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Cable television in the United States began as a device for relaying the programming of broadcast television networks to remote areas where signals hardly reached. However, it has grown to a major medium providing diverse programming via cable networks. Drawing upon population ecology and the new institutionalism in organizational sociology, this study examines a key aspect of this development: the founding of cable networks. The results of negative binomial estimates for cable network foundings (1969 –2010) show that ecological dynamics revolving around the number of cable networks explain, but do not fully explain the development of the industry; rather, policies have had palpable effects on industry development, shaping how organizations respond to changes in regulations.