PURELY PENNIES

[Penny Roger$]

/^\$PMCM/^\ The large conglomerate content providers (Comcast/Universal, Time/Warner, Viacom/Paramount, ABC/Disney, News Corp./Fox, Sony/Columbia Pictures) have made significant investments in their "old media" infrastructures which they can only recoup through the high cost of content bundling of (often unwanted) content to the consumer. They only want to make fewer multi-million dollar "tentpole" movies, with movie budgets in excess of $ 200 million and marketing and distribution costs to match! A series of high budget flops can be financially devastating for these conglomerates with their crushing top-heavy overhead and their layers of paralyzing bureaucracy. On the flip side, smaller independent producers have been capital starved and have not been able to compete with the giant, unwieldy conglomerates. Fragmented ad hoc Internet streaming services often deliver poor quality and limited content selections. These conditions are causing consumers to migrate and search for significantly lower cost options ("99 cent" individual content buys) directly to their smartphones, iPads and laptop screens. Selective choice, convenience, quality, and lower cost (for both consumers and independent producers) all make this massive shift inevitable.

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