The below link has some interesting comments from publishers regarding creating a better model for pricing content. In this case, it seems that prices may actually be going up (the reason why publishers are happy) because Kindle will no longer be in as dominant a position to force content prices down as they once were.
http://www.cnbc.com/id/36123292
I think that the iPad does hold some promise for newspaper and magazine publishers.
ReplyDeleteOne of the central reasons that publishers have such a hard time charging for online content is that consumers have been trained to expect online news content to be free, and sheer volume of free content available online makes it nearly impossible for all but a few publishers to charge for their content.
Consumers have shown a much higher willingness to pay for newspaper and magazine content on smart phones and eReaders, and I think that trend will continue with the iPad.
HOWEVER, the revenue that newspapers and other publishers gain from mobile content will never fully make up for the lost revenue from declining print readership. Accordinly, publishers will need to continue to make innovations in content creation (i.e. lower production costs while still satisfying consumer demand) and to maximize the advertizing revenue that earn across multiple platforms.