Re:Is Google the Wal-Mart of the web?
by RyanMcGreal on Friday October 23, 2009 @12:15PM
(#899030)
Some sloppy reasoning here:
> For example, the newspaper industry is quickly crumbling - they lost $7.5 billion in ad revenue in 2008. The public gets irate at the mention of paying for online news.
Traditional media and online media alike are based on advertising revenue, not on readers/viewers paying for the news. People won't pay for news online for the same reason they wouldn't pay for news on TV or even in print. Subscription charges for newspapers and magazines, like TV cable/satellite bills, pay for content distribution, not content creation.
Given that readers/viewers already pay the distribution charges for their internet connection, they balk at paying again for the creation of content that they're long accustomed to getting for free.
> For example, the newspaper industry is quickly crumbling - they lost $7.5 billion in ad revenue in 2008. The public gets irate at the mention of paying for online news.
Traditional media and online media alike are based on advertising revenue, not on readers/viewers paying for the news. People won't pay for news online for the same reason they wouldn't pay for news on TV or even in print. Subscription charges for newspapers and magazines, like TV cable/satellite bills, pay for content distribution, not content creation.
Given that readers/viewers already pay the distribution charges for their internet connection, they balk at paying again for the creation of content that they're long accustomed to getting for free.