Analog Dollars, Digital Pennies, and an Embarrassment of Video Riches
Fred Wilson of Union Square ventures had an interesting post titled Trading Analog Dollars For Digital Pennies. He quoted Jeff Zucker, NBC Universal CEO, expressing concern "that we do not end up trading analog dollars for digital pennies." Wilson writes that the change is inevitable and based on marginal costs of content copies. I agree that it is inevitable, but think that the marginal costs are only one issue. Even more important is audience dilution.