Wednesday, October 12, 2005

iTunes Video

Thoughts on the introduction of the iPod/iTunes Store with video capabilities:

  1. For a portable media player [PMP], it has a small screen. However, it is an iPod. It has 81% of the current market. The current ones will be dropped, broken, wear out, and then when Joe and Jane Public go out to replace them, they will get one of the video ones. They will be the best sold PMP in no time.

  2. Two of ABC's top shows are available. They are now in Season 2. You can buy a 'boxed set' of Season 1 for both shows for 35 bucks, but not individual shows from Season 1.

  3. This really confronts you with how much commercials are in a TV show. The single episodes around 43 minutes long. This for an hour of TV.

  4. THis won't be a significant revenue stream for TV. Every episode would have to be downloaded 600.000 times, assuming a 20% cut for Apple and no overhead over a budget of a million bucks per episode for ABC -- which is no way in hell true for their flagship shows -- before ABC has recouped just costs. But for cheaper cult shows...