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Originally Posted by chadglni
No because getting a customer base is for more important than any money they would make on ads right now. www.wimp.com
If you can't understand how having that many loyal members is worth way more than a few ad dollars in the meantime you need to restudy business. Look how much MySpace sold for simply for their userbase. |
I disagree. I believe thier userbase is as fickle as fickle gets. A Myspace comparison is inaccurate because they are far from a social networking site that people use to contact their friends and thus makes them sticky and relevant.
Once they switch to an ad based economic model that inserts 10 second commercials before 30 second clips the users will switch to the next free service which is always right around the corner. I can point to 20 new ones right now if you think they won't exist.
On the other hand, Veoh getting in the game and going for the jugular with the movie studios, indie filmmakers, broadcasters and so on is putting them ahead of the pack. All they have to do is line up a few big names and their publicity will shoot them ahead of YouTube. Especially in profitability.
Both are an IF proposition at this point but I would bet on Veoh only because they have a head start on making the money deals happen now.
At the very least if Veoh is porn friendly they will put the VOD companies out of business fast and make a mint in that arena.
VOD is dead. I'd hate to work at one right now. They have to be nervous.