nanog mailing list archives
Re: Network end users to pull down 2 gigabytes a day, continuously?
From: Mikael Abrahamsson <swmike () swm pp se>
Date: Sat, 13 Jan 2007 12:45:24 +0100 (CET)
On Sat, 13 Jan 2007, Marshall Eubanks wrote:
For the US, an analysis by Kenneth Wilburhttp://papers.ssrn.com/sol3/papers.cfm?abstract_id=885465 , table 1, from this recent meeting in DChttp://www.web.virginia.edu/media/agenda.html
Couldn't read the PDFs so I'll just go from your below figures:
shows that the cost per thousand per ad (the CPM) averaged over 5 networks and all nights of the week, was $ 24 +- 9; these are 1/2 minute ads. The mean ad level per half-hour is 5.15 minutes, so that's 10.3 x $ 24 or $ 247 / hour / 1000. This is for the evening; rates and audiences at other times or less. So, for a 1/2 hour evening show, on average the VOD would need to cost at least $ 0.12 US to re-coup the ad revenues. Popular shows get a higher CPM, so they would cost more. The Wilbur paper and some of the other papers at this conference present a lot of breakdown of these sorts of statistics, if you are interested.
Thanks for the figures. So basically if we can encode a 23 minute show (30 minutes minus ads) into a gig of traffic the network (precomputed HD 1080i with high VBR) cost would be around $0.2 (figure from my previous email, on margin) and pay $0.2 to the content owner, they would make the same amount of money as they do now? So basically the marginal cost of this service would be around $0.4-0.5 per show, and double that for a 45 minute episode (current 1 hour show format)?
So question becomes whether people might be inclined to pay $1 to watch an adfree TV show? If they're paying $1.99 to iTunes for the actual download right now, they might be willing to pay $0.99 to watch it over VoD?
As you said, of course this would take enormous amount of time and effort to convince the content owners of this model. Wonder if ISPs would be interested at these levels, that's also a good question.
-- Mikael Abrahamsson email: swmike () swm pp se
Current thread:
- Re: Network end users to pull down 2 gigabytes a day, continuously?, (continued)
- Re: Network end users to pull down 2 gigabytes a day, continuously? Petri Helenius (Jan 21)
- Re: Network end users to pull down 2 gigabytes a day, continuously? Stephen Sprunk (Jan 21)
- Re: Network end users to pull down 2 gigabytes a day, continuously? Joe Abley (Jan 21)
- Re: Network end users to pull down 2 gigabytes a day, continuously? Steve Gibbard (Jan 21)
- Re: Network end users to pull down 2 gigabytes a day, continuously? Alexander Harrowell (Jan 21)
- Re: Network end users to pull down 2 gigabytes a day, continuously? Stephen Sprunk (Jan 21)
- Re: Network end users to pull down 2 gigabytes a day, continuously? Alexander Harrowell (Jan 21)
- Re: Network end users to pull down 2 gigabytes a day, continuously? Perry Lorier (Jan 21)
- Re: Network end users to pull down 2 gigabytes a day, continuously? Travis H. (Jan 21)
- Re: Network end users to pull down 2 gigabytes a day, continuously? Marshall Eubanks (Jan 13)
- Re: Network end users to pull down 2 gigabytes a day, continuously? Mikael Abrahamsson (Jan 13)
- Re: Network end users to pull down 2 gigabytes a day, continuously? Marshall Eubanks (Jan 13)
- Re: Network end users to pull down 2 gigabytes a day, continuously? Mikael Abrahamsson (Jan 13)
- Re: Network end users to pull down 2 gigabytes a day, continuously? Marshall Eubanks (Jan 13)
- Re: Network end users to pull down 2 gigabytes a day, continuously? Gian Constantine (Jan 13)
- Re: Network end users to pull down 2 gigabytes a day, continuously? Stephen Sprunk (Jan 13)
- Re: Network end users to pull down 2 gigabytes a day, continuously? Roland Dobbins (Jan 13)
- Re: Network end users to pull down 2 gigabytes a day, continuously? Mikael Abrahamsson (Jan 14)
- Re: Network end users to pull down 2 gigabytes a day, continuously? Travis H. (Jan 19)
- Re: Network end users to pull down 2 gigabytes a day, continuously? Marshall Eubanks (Jan 13)
- Re: Network end users to pull down 2 gigabytes a day, continuously? Andy Davidson (Jan 15)