Quote:
Originally posted by admactanium
the bandwidth costs for distributing long-form video are much greater than a 3Mb aac music file. the profit potential is much harder to find for video than music since i don't think people are going to pay a lot of money to get shows they can get on tv.
the bandwidth costs for distributing long-form video are much greater than a 3Mb aac music file. the profit potential is much harder to find for video than music since i don't think people are going to pay a lot of money to get shows they can get on tv.
Bandwidth is pretty cheap. Prices for large users (like Apple) are <$1/GB. So an H.264 SD 1 hour TV show should cost less than $0.40. I think that for a 30 minute show Apple could swing $1/episode. For an hour, up it to $2 or $1.50. For a movie, you have to come in line with DVDs to cover the royalties so you're probably looking at closer to $10. But I think $2 for a 1hr show is comfortable for consumers.
Keep in mind that Apple has been springing for bandwidth for trailers for a long-ass time and getting no money outside of derivative sales from QT Pro, etc. I don't think it's insurmountable.
For royalties on TV, season DVDs appear to average $1.25 to $1.75 per 1 hour episode. Taking out packaging, distribution, retail cut, etc. you are probably looking at $.75 or less per episode in royalties, which is close to what the music labels get. I doubt that episode downloads would significantly cut into DVD sales and I think consumers would pay MORE for TV download than the DVD bundle due to the timing convenience.
The plural of 'anecdote' is not 'data'.
The plural of 'anecdote' is not 'data'.








.