RatcliffeBlog - Mitch Thinking Out Loud

Consumers Ready For Net Video Subscriptions?

In-Stat/MDR says consumers are going to be spending $4.5 billion on subscription video services over the Net by 2007. I'm skeptical about the number, which represents a 460 percent increase in three years. Subscription services will require that the money come from somewhere else, given constricting consumer spending on media--complaints about the high cost of cable are a clear indicator that people are tired of paying more for content constantly. So, if consumers are going to be spending on video, it will probably come out of cable expenditures.