The use of Caching and Multicasting has been studied extensively inthe context of terrestrial networks. However, the use of thesetechnologies in a Direct Broadcast Satellite(DBS) system remains unclear.In this paper we discuss possible choices of caching and multicasting schemes, motivated by current applications in the terrestrial Internet,that could be considered for a DBS system. We examine their advantages and disadvantages as well as the tradeoffs involved in combinations of different approaches. We also propose some uses of these technologies and describe an architecture that enhances the performance and efficiency of a DBS system. This paper is published in the Proceedings of International Workshop on Group Communication, International Conference on Parallel Processing, September 1999.