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Length: 13 pages
For Vendor Strategy Professionals
May 11, 2007
(updated May 30, 2007)
Paid Video Downloads Give Way To Ad Models The Industry Must Pull In Mainstream Viewers To Grow Beyond Today's Modest Download Market by James L. McQuivey This is a document excerptEXECUTIVE SUMMARY
An all-star cast of players premiered online video download services in early 2007. The question of who will dominate is moot since there is no long-term market to master. Sure, a small market is coming: Current downloaders are media addicts who will spend aggressively in 2007, driving revenues up to $279 million from just $98 million last year. The paid download market, however, is ultimately a dead end. To attract mainstream viewers, media strategy executives must develop new business models and delivery mechanisms to make video downloading ad-supported and geek free.
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