The end component in the satellite TV system is the satellite receiver. The receiver has four jobs to do.
It de-scrambles the encrypted signal.
It takes the digital MPEG-2 or MPEG-4 signal and converts it into an analog format that a standard television can recognize.
The satellite receiver extracts the individual channels from the larger satellite signal.
The satellite receiver also keeps track of pay-per-view programs and periodically phones a computer at the provider's headquarters to communicate billing information.