Monday, April 11, 2016

Digital content must be free

I for the most part agree with Anderson's argument. In order to gain a customer base you must decrease the amount of barriers for them. The leading barrier is usually the cost of the product. If a quality product is free and easily accessible to the masses, you can eventually create sources of revenue. This is why broadcast television, radio, and social platforms are free. This is Spotifiy and Pandora have became a giant player in the music industry. This will eventually become the main business model for all of the newspaper industry. 

I don't agree that they should make cut throat deals with Amazon. Newspapers need to collectively create a digital marketplace for their content thats driven by advertising revenue. By having the content be digital, free, and available on all platforms, they decrease the barriers that have been crippling physical newspapers.


I find flaws within Gladwell's attempt to refute Anderson's arguments.  The reason cable television and the iPhone have been so popular is because of the variety of content they offer. This is why Amazon was able to low ball the DMN, they bring the variety of newspapers to the public. Newspapers aren't able to do unless they work collectively together, which is why a middle man like Amazon is able to charge so much. 


Furthermore, you cannot compare Youtube's ad revenue model to the future business model of Newspapers. Taking an unlimited about of amateur videos and writing a limited amount of professional journalism are not exactly the same. $0.00 will be the future purchase price of the journalism because all digital content must eventually become free. This generation and future generations will demand it. However, worry not because everyone will still ample revenue through advertising. 

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