Online video downloads market
The online video market currently has two revenue models: paid download-to-own, and downloads that are free for view online but include advertising.
Adams Media Research in their recent report predicted that consumers will spend approximately $4.1bn a year on films and television programmes - a significant increase on the $111m spent in 2006. Providers using ad-supported distribution, on the other hand, will likely see revenues of only $1.7bn annually, compared with $409m last year.
According to the report, the commercial-free digital video distribution model is likely to be the most lucrative by 2011.
In India too, there is a rush, as production houses such as Rajshri Productions are making all their older shows available to an online audience. Given the rampant piracy online, I wonder how those numbers would play out.
Other reads:
Ad-supported online video ‘losing ground’
Filed under: Digital culture, Emerging Tech, Ideas & Innovations, Trends