> As a layman, I don't understand how people will make money with > advertising on online video. Surely at some point soon, pay per view > will become the norm? Will the recession bring this on? With things > like paypal and google checkout, isn't paying for things much easier > now? Easy enough to make it worth the viewer's while doing it? > And will that lead to a lot more long-form content, so people feel > they're getting their money's worth?
Let's look at a parallel issue: http://www.consumeraffairs.com/news04/2009/04/tw_meters_expansion.html According to Time Warner Cable, customers will be charged from $29.95 to > $54.90 a month, depending on how fast their connection is and how much > bandwith they use. Subscribers who go over their cap would be charged $1 per > gigabyte (GB) used. Time Warner Cable will offer cap packages of 5, 10, 20, > and 40 GB for users in the test markets. > > Consumer advocates and telecommunications analysts say the real goal of > metered broadband is not to prevent bandwith consumption, but to protect the > profits from cable television, which faces challenges from the many services > enabling video and TV watching over the Internet. > In the US, Time/Warner is a content producer (HBO/CNN, etc)...cable TV provider...and broadband provider. They are realizing that younger people are canceling their TV subscriptions...and just downloading the videos they want to watch. So two of their three business models are failing. I know for me this is true. I stopped paying for cable years ago. I just watch what I want online. This is like the phenomenon of young people canceling their land phone lines and just using their cell phones. So I wonder what this means to the conversation that Rupert pointed out. If YouTube/Hulu are struggling to cover licensing and bandwidth costs, and Time/Warner is charging for bandwidth usage...how will these issues intersect? Jay -- http://ryanishungry.com http://jaydedman.com http://twitter.com/jaydedman 917 371 6790 [Non-text portions of this message have been removed]
