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The Future of Internet Business Models
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Chris Kalaboukis
chriskonlinefocus.com
SwapSmarts
http://www.swapsmarts.com?u=thinkfuture
As we look over the graveyard of companies who bought the lie of "information wants to be free", the "let's give it away and let advertisers foot the bill" internet business model, we should remember that nothing of value is free.
More money is poured into infrastructure companies: has anyone thought of what will run over this vaunted infrastructure when it is better or complete? If the free content/advertising model has fallen into disfavor, isn't it true that pay-for-content must return? The internet is not a passive medium like radio and television, its active and selective. With selectivity comes a price. People will be willing to pay for content that they are seeking to delivered to them on a timely basis. We must lead the charge to stop the free content model. So if you want to start an internet business, the future is in pay-for-content.
What is the next big thing on the internet? Sure, a lot of companies have turned to hardware and other similar physical things, however there must be an explosion in the internet services business, especially in content. Why? Think about other mediums - we don't marvel today at the technology behind radio and television: we marvel at the content. when it comes to the internet, we are still obsessed with the technology, but if you want to be at the head of the curve, you have to start marvelling at the content.
And, to that, content can no longer be given away for free. Why? Because the internet is an interactive medium: users can choose exactly what they want, and to be able to have that choice, they have to pay.
Most offline sources of information are not free. For TV you pay for content through cable or dish, you pay for newspapers, you pay for magazines, you pay for books.
Free content is dead (it just doesn't know it yet). We need radical change - and we need it now - we need a business model that works - and that model is pay-for-content.
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