Re:Microsoft backs H.264.
by recoiledsnake on Wednesday February 02, 2011 @09:32PM
(#2173288)
I think the MPEG-LA's terms are pretty good for the next Youtube. First free web video is free. If you charge your customers, for the first 100K subscribers, it's free.
100,001 - 250,000 subscribers/year = $25,000; 250,001 - 500,000 subscribers/year = $50,000; 500,001 - 1,000,000 subscribers/year = $75,000; and more than 1,000,000 subscribers/year = $100,000.
That's about 10 to 25 cents per paying customer PER YEAR with first 100K subscribers free. And there are limits and caps on the increases.
This is a community of entrepreneurs. What's at stake here is the next YouTube. If you're just a fledgling startup that shows videos online, can you afford a sudden surge in popularity, or will it bankrupt you in patent royalties? Can you estimate your future costs in royalties, or is it subject to change when MPEG-LA thinks it can get some more money from you? If you want to use video in some disruptive new medium, what will MPEG-LA decide to charge for that once they see its promise? Or will they refuse to license the patents at all for this purpose, in favor of giving MPEG-LA members exclusive dibs on this new medium?