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Re: Network end users to pull down 2 gigabytes a day, continuously?
On Sat, 13 Jan 2007, Marshall Eubanks wrote:
For the US, an analysis by Kenneth Wilbur
Couldn't read the PDFs so I'll just go from your below figures:
shows that the cost per thousand per ad (the CPM) averaged over 5 networks and all nights of the week, was $ 24 +- 9; these
Thanks for the figures. So basically if we can encode a 23 minute show (30 minutes minus ads) into a gig of traffic the network (precomputed HD 1080i with high VBR) cost would be around $0.2 (figure from my previous email, on margin) and pay $0.2 to the content owner, they would make the same amount of money as they do now? So basically the marginal cost of this service would be around $0.4-0.5 per show, and double that for a 45 minute episode (current 1 hour show format)?
So question becomes whether people might be inclined to pay $1 to watch an adfree TV show? If they're paying $1.99 to iTunes for the actual download right now, they might be willing to pay $0.99 to watch it over VoD?
As you said, of course this would take enormous amount of time and effort to convince the content owners of this model. Wonder if ISPs would be interested at these levels, that's also a good question.
-- Mikael Abrahamsson email: swmike@xxxxxxxxx