Originally Posted by fpconvert
Ok...the pirate steals the content and sells it for a dollar or gives it away, Disney makes what?....... Yes, zero.
Disney goes through apple and apple sells content for 75 cents but wants a thirty cent cut...Disney makes 45 cents.
Disney sells it on their own for 50 to 75 cents through a subscription basis and keeps all...much better, no?
They have a lot of content to sell.
Ok, I see where you're coming from. I was just assumed making 45 cents from tens of millions of Netflix subscribers would be better than making 75 cents from a few hundred thousand "New Disney Service To Be Named Later" (IMO). Not that I know how Netflix licensing works, but it must work out ok for studios.
What I mean is, would you really sign up for a subscription for something that just offered Disney content? How much would you pay for that? And if by some chance it was successful (doubt it), would you want to see other studios doing the same? Like having to pay for Disney, and then pay for MGM, and then having to pay for Universal, and then having to pay for Sony...Or would you rather just pay (for example) a small fee to one place, like Netflix, for content from all those studios?
I assume the Netflix model is better, which is why we don't see all these studios offering their own independent services (like how I interpret what Disney is contemplating) and instead they license the content to other established services, like Netflix/Vudu/XBOX Marketplace/PSN, etc.
Or maybe I'm just reading it wrong. Maybe they are looking at building another Netflix and offering content from all studios. If that's the case, then I'm still not sure there's room for yet another Netflix/BBO, but I've been wrong before.
Regardless, I'm anxious to hear more about what they are thinking/planning.