[opendtv] Re: News: TV Braces for the Apple Tablet

  • From: Tom Barry <trbarry@xxxxxxxxxxx>
  • To: opendtv@xxxxxxxxxxxxx
  • Date: Thu, 28 Jan 2010 10:13:29 -0500

Craig Birkmaier wrote:
> ...

> These programs are NOT free of charge - they are still filled with
> commercials. And there have been many recent indications that Hulu and
> others are going to start charging for the service - you can bet that
> the ads will still be there.
>
> Apple sells commercial free versions of most popular TV shows for
> $1.99. This is WAY too expensive and Apple is well justified in trying
> to get the price down to 99 cents - IMHO it should be less than 50
> cents. The reason why Apple has been successful with iTunes (both for
> music and video) is that they have worked with the congloms to show
> them another way to do business. And they have allowed the congloms to
> charge far more than the product is worth to gain their support.
>
> Perhaps now we can move forward to a new and more equitable
> infrastructure for digital media distribution...
>
> Regards
> Craig
>
Once bandwidth costs become sufficiently low I don't see any reason why
the equivalent of broadcast network shows should not again be available
as (almost) free ad supported content on the Internet.  We pay for the
broadband delivery costs separately already.  Any content that is
expected to attract sufficient eyeballs should also be expected to
attract sufficient advertisers at the right prices.  And it is easy
enough to offer 2 different versions of a show, with and without
(targeted?) advertising, at different prices to find out how much
consumers will pay to avoid the ads.  Regular market forces should work
here once the infrastructure is in place.

- Tom
>
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