A while back we reported on how Apple isn’t selling all that many TV show episodes and full-length movies with its iTunes Store.
Forrester Research analyst James McQuivey takes it a step further. In a recent study he authored, McQuivey is predicting that the market for purchasing videos online will peak this year and eventually disappear.
That sounds a bit shocking, but the rationale behind it makes sense. McQuivey points out that the market is waiting for better solutions to get video on demand and on the go through the Internet. Once that happens, “free is going to win,” McQuivey said, meaning that advertiser-supported content will be the entire market, just the way it is now with traditional television. Food for thought.
Report: For-Pay Services (Like iTunes) Will Die [Reuters via PC Magazine]