I use an antenna, and I actually do this by choice. I had dish network and never watched much other than prime time TV on the basic network channels. So I dropped that $50 a month bill (which is on the low end I know) and my TV is 100% free.
As a bonus - while granted you just get the "basics" - over the air high def is the best quality HD you can get. Its never compressed so you get full bandwidth vs cable/sat which is encoded/compressed and uncompressed at least once. My parents have directv HD on a hitachi plasma, my brother has the cable company HD on a mitsubishi DLP Diamond series, my in laws have a panasonic viera (brand new, ..85U) on cable HD, and I have OTA on a hitachi plasma. Guess what? My TV wins picture quality wise hands down, and they all agree.
You can even get TiVo (actual TiVo brand TiVo mind you, the best interface imo) just like you could for cable/sat.
One other thing, digital signals these days dont really give you that "snow" and "noise" that analog did. B/c its digital, its either on or off, you get a crystal clear picture or you get a black screen. With the right antenna, you will get the former.
To get started, check out (are you in the US? I didnt look)
www.antennaweb.org
Its a free government website that lets you put in your address, and it plots out where each stations towers are and how far away they are. It will even tell you what type of antenna to buy based on a standardized color coding. Antennas range in price from $10 to maybe $100? I paid $80 from amazon for a nice looking (antennas aren't all those ugly wire rod things of yester-year) one that mounted to the existing sat bracket.
http://www.amazon.com/Terk-HD-TVS-Profile-Outdoor-Antenna/dp/B0006N2PDQ/ref=pd_bbs_sr_6?ie=UTF8&s=electronics&qid=1236642830&sr=8-6
Lastly, to the person who said over the air was illegal? At least in the US, its illegal for the broadcasters NOT to put out a free broadcast signal... its one of many ways emergency broadcast messages are transmitted, and not everyone can afford cable/sat (not that thats why i go this route, see above, but the option needs to be there).
Lastly, no I dont sell broadcast towers or anything lol. I just love telling people about OTA, as most have no idea its out there, or how good it is. Cable/Sat = Huge Marketing budgets.... OTA = prob don't care who uses it
