Re: "The Elusive E-book"
Mary E Tyler <[email protected]>
| Newsgroups | gmane.culture.literature.ebook-community |
|---|---|
| Message-ID | <[email protected]> |
> This is exactly what I mean by saying that Anderson's book "Free"
> will have an effect.
>
> As I understand it, the "Free" argument, simplified and in my own
> words, is that items with no duplication cost (most digital items
> are like this), are destined to be free, and distributed as
> essentially loss leaders for other services and goods. For example,
> mp3s become loss leaders for concerts and other goods.
Except that this is, effectively, a fallacy. Storage for the original
file is not free--though as time goes on, it is getting cheaper and
cheaper and may, someday in the not too far future, be effectively
free. But more importantly, bandwidth is not free. In the aggregate,
it's not even cheap. To get that book from the server to the reader,
it costs bandwidth.
The cost of bandwidth is not decreasing nearly as quickly as the cost
of storage. And while wired bandwidth in the micro might someday get
close to free, it is unlikely to be free in the macro/aggregate.
Wireless bandwidth is still quite expensive and not decreasing in cost
nearly as fast as wired bandwidth--particularly when you're talking
about a network that actually covers more area that it doesn't cover
(ie Verizon vs TMobile).
As such, "free" is and will likely be a loss leader.
dej
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