And let's not forget with the analog cut-over, there wouldn't be any DNS on Dish Network and very little on DirecTV. After all, one condition upon the offering of local-into-local HD is that once the locals are available, the distants go away.
For every market added in HD, distant HD disappears. Once the analog is gone, HD (digital) is the only thing left. DirecTV will have a very large chunk of the markets available, meaning no distants.
The SHVA and amending legislation was designed to give the satellite consumer access to networks if they were unserved. We've now come to the point where it will be full-circle, because satellite is very interested in serving local or nearby affiliates to the consumer, thus negating the need for distant service.
You keep forgetting about the RVer and other mobile customer. I have a digital TV in our RV and I can tell you that most of the places that we go to, I can get a snowy Analog picture but NO digital picture.
Even here at home, a channel's Analog picture will come in quite clear but their digital picture has a signal strength of 68-75 and drops out quite often.
The RVer has no choice but distant networks for two reasons. One is that the dishes on rooftops point to one, sometimes two satellites (DISH300/DISH500) and unless ALL the locals were provided on those two satellites, they would not be accessible to the RVer and secondly, either the RVer would have access to ALL local channels nationwide (not likely) or would have to call DISH everytime they entered a new DMA to have the nearest local channel enabled. That would be quite costly from a CSR point of view.
There have to be exceptions in certain cases. What's going to happen when Airlines, Trains, etc want to start offering Network programming to their customers? I don't see any difference there either...
I understand the need to support the local channels with Advertising revenue and I personally do subscribe to the local channels as well. But when I leave my state, my locals go away and I have no other choice....