iTunes 10% of Disney digital revenue plan
updated 07:05 pm EDT, Wed March 12, 2008
iTunes revenue for Disney
Disney, as the launch partner for the iTunes video store, has seen approximately $123 million from the venture since its inception, which is a drop in the bucket when compared to the company's $35 billion in revenue last year, but is not without its upsides. Money made from the iTunes video store requires very little maintenance and planning, since companies don't have to market the product, while extraneous costs such as boxing, shipping, and other elements in distribution are not present.
The Silicon Alley Insider reports that Disney sold 4 million movies and 40 to 50 million videos through the iTunes store since its launch. Based on research by Pali Research, Disney is said to make approximately $14.50 per movie sale, and an estimated $1.44 off each video. Disney's goal for digital revenue is $1 billion for the year.
missing from article
03/12, 11:33pm reply
obligatory whining by music execs that Apple is taking the 'lion's share' of the revenue from selling its product at iTMS.
climacs
Fresh-Faced Recruit
Joined: Sep 2001
Re: missing
03/13, 10:36am reply
It's not missing, it would be a pointless insertion. The article is about the VIDEO store, not the MUSIC store. Thus, there would be no need to read about the music industry whining.
testudo
Fresh-Faced Recruit
Joined: Aug 2001
wow!
03/13, 01:03pm reply
a news article actually announced that it's cheaper to upload a digital file to a server and allow for multiple copies to be downloaded at a cost than to market ship and otherwise handle physical merchandise for a larger profit?
Never would have thought of that_ Crazy idea !
--------------- oh and Testudo when did Apple start up an iTVS [iTunes video store] I didn't know they had made a new stand alone feature of iTunesMS and it's completely independent from the iTMS you say?
Is this in a future Beta of iTunes v8 ?
Is there a link to get there?
Stop being so damned literal !
UberFu
Fresh-Faced Recruit
Joined: Oct 2002
re: Uberfu
03/13, 10:02pm reply
FYI, the iTMS is dead. It's now the iTS (iTunes Store). Apple dropped "Music" from the name when they started selling video.
Luke MacWalker
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Joined: Dec 2005