P2P and TV

Khuffie writes "According to Wired, Warner Bros. Entertainment recently passed on a pilot of a show called Global Frequency. However, due to a leak on bit-torrent the pilot episode has reached thousands of viewers who are clamouring for more, and has given the show a new lease on life. What's more interesting is what the show creator learned. From the article: "It changes the way I'll do my next project," said Rogers. If he owned the full rights, he said, "I would put my pilot out on the internet in a heartbeat. Want five more? Come buy the boxed set." Frankly, I'm all for this method of distribution, as I barely watch 'regular' TV anymore."

Comments

Torrent

[Anonymous Coward]

Torrent of mentioned show.

Already tried & failed

[dazedNconfuzed]

We'll make another 6 episodes as long as the actors and the audience can agree on a price for more. We'll stop when they can't agree.

Stephen King tried it. He started a new book and gave the first chapter away for free, putting subsequent chapters up for sale; when enough people bought a chapter he would write & publish the next one (all on-line). It was a dismal failure: the second chapter was bought by few and re-distributed by many; as a result, chapter three was never published. Author and audience couldn't agree on merely chapter 2.

Re:More Stupidity!

[AKAImBatman]

Doesn't high margin imply high profit?

Nope. If I create a product that costs $10 to manufacture, sell it for $12, but sell 10,000,000 units, then I have made $20,000,000 profit on a 16% margin. On the other hand, if I create a product that costs $6 to manufacture and sell 10,000 unit for $12 a piece, I'd have made $60,000 on a 50% margin. Given the choice, most people would go for the 16% margin because it means more money.

The risk, however, is that you might fail to capture the market and only sell a small number. Any up front costs (which can be considerable in high profit dealings) are lost. Now if you consider that the 16% margin has an upfront cost of $100,000, but the 50% margin has an upfront cost of only $1,000, how do you think that effects the risk/reward ratio?