The Real Battle
Doc Searls,
Linux Journal,
Oct 08, 2002
How long can it be before we see the collapse of the large content networks? Even without the internet they would be in trouble. "There are today 380 digital television networks... Now you cannot tell me there is fourteen times as much advertising money... They have fourteen times as much programming costs... This is a train wreck. This cannot sustain itself, especially if you add PVR (personal video recorders such as TiVo) on top...." And they can't hold out much longer. "AOL Time Warner is $30 billion in debt. Vivendi Universal has $20 billion in debt. Disney has $25 billion in debt. These are companies that have been leveraged to the neck." It adds up to this: "When you add new technologies to old industries, you get wrong answers."
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