2 months ago
- Publishers historically sold physical media (paper, CDs) rather than content itself, pricing based on format rather than quality.
- Consumers never truly paid for content; they paid for the medium, which is now evaporating with digital technology.
- Selling content directly to consumers is historically marginal (e.g., stock tip newsletters) and unlikely to work broadly.
- iTunes and similar services act as tollbooths by controlling the channel, not as true content stores, and face price pressure.
- Software can be sold as content because customers (often businesses) need specific tools and face piracy risks, unlike general 'content'.
- Future options for publishers: give content away for indirect revenue (e.g., concerts, ads) or embody it in physical goods people will pay for.
- Success will come from leveraging new technology to fulfill unmet wants, not from protecting existing revenue streams.