@ Web 2.0: Meeker’s State Of The Internet: Time For Video Monetization
Mary Meeker from MorganStanley is giving her annual state of the Internet presentation…and video monetization is her theme this year. The PDF for her presentation slides is here.
—The opportunity for keyword search and adjacency sponsorship is a big one…the companies need to try it.
—Audio search will become prevalent over the year.
Nov 8, 2006 1:26 PM ET
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Comments (3)
Nov 8, 2006 5:12 PM
Kinda funny that KIKO is listed within the Web OS slide. Considering the site was sold on eBay for $250k, and considered somewhat of an unfortunate example of the new 2.0 generation. BEBO is missing from the “young generation.”
Nov 9, 2006 2:44 PM
So based on Meeker’s observations there is money to be made in Video distribution online.
The big question though is still where is the critical mass going to come from in the next five years in terms of the ability for Grand ma and grand Pa the baby boomers who want to be able to watch movies on their Big flat panel TV’s.
That is the market that Meeker is not addressing. Probably 90% or more of Youtube’s customers are people under the age of 34 and for them watching Matrix or X Men on a small 3X4 inch screen at bad resolution is/maybe acceptable.
By and large most people want to watch Video on large screens possibly in DVD quality or better.
Meeker’s presentation does not address the Broadband needs to provide true high speed access nor the path to that Holy grail when we will be watching digital content on any devuiceof our choosing when we choose.
It focusses more on what the trends are on only one side of the equation.
The infrastructure needs are not being addressed in her presentation.
To be seen…. if it remains hype for the next five years or do we see a true paradigm shift within 18 months.
Nov 10, 2006 2:42 PM
I agree that infrastructure is crucial, which means that it could be a long time before is feasible from a cost standpoint to stream videos longer than 3 minutes. In contrast to the broadcast/cable/satellite model, where the marginal costs required to service (and monetize) additional viewers are almost zero, doubling the number of web viewers costs nearly double the money (since you pay for streams on a per minute basis).
Improvements in wireless networking could potentially go a long way towards resolving the screen size & viewing experience probems in the intermediate term, but again, infrastructure is the stumbling block for high quality video in standard TV resolution (high definition formats are even more costly of course).
I have yet to see any evidence that video ads, even at $40 CPMs, can offset these costs….