iTunes 10% of Disney digital revenue plan

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.

Filed under: industry, Apple
Other story tags: iTunes, store, Disney, distribution

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climacs

missing from article

03/12, 11:33pm, EDT

obligatory whining by music execs that Apple is taking the 'lion's share' of the revenue from selling its product at iTMS.

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testudo

Re: missing

03/13, 10:36am, EDT

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.

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UberFu

wow!

03/13, 1:03pm, EDT

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 !

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Luke MacWalker

re: Uberfu

03/13, 10:02pm, EDT

FYI, the iTMS is dead. It's now the iTS (iTunes Store). Apple dropped "Music" from the name when they started selling video.

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