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Message: RE: 7-Eleven to test sale of music downloads - Putnam comment

RE: 7-Eleven to test sale of music downloads - Putnam comment

posted on Mar 25, 2005 04:10AM
A friend had a conversation with Putnam a few months ago where they discussed the Kiosk business model. Not in a whole lot of detail but along the lines of ``Why would I be willing to spend hundreds of dollars to buy a portable video player`` The answer was the cost would be in the < $300.00 range and it would require 20 seconds to download an entire movie off of a broadband kiosk.

Kinda makes allot more sense when you put it in this context. I suppose it`s possible that over time the players could be discounted with economies of scale and underwriting by kiosk retailers. The way I see it, this will require major investment by a very large entity or a consortium of interests.....Likely both. It took time for Apple to network the Ipod package together and make it seamless. Whoever we`re working with is attempting to create a similar package for video. It takes time, but the 10 years forcast by 7-Eleven seems wide of the mark. 20 seconds to download a complete movie is already do-able.

Larry

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