Study: the publishing industry can survive, even thrive, on the iPad and Kindle
TweetFollow Us on Twitter

Study: the publishing industry can survive, even thrive, on the iPad and Kindle

NYU Stern Professor Vasant Dhar, an expert in the strategic implications of information technology, warns that the publishing industry will be the next “carcass” if it doesn’t embrace a new business model, and he proposes what this new model should look like. And it involves devices such as the upcoming iPad and the Kindle.

“Publishing executives have an unprecedented opportunity to grow the industry. Yet, what they are doing is defending their old business model – which, frankly, is now antiquated,”says Dhar. “The two are mutually exclusive.”

Dhar, who conducted the first study to quantify the economic impact of user-generated content for the music business, cites the music trade as a perfect example of an industry that failed because it was unprepared and resistant to adopting new technologies. Instead of focusing on providing their customers value and reasonable rights of usage, they became obsessed with preventing piracy, and it cost them dearly. He argues that publishers should adopt a more market-back-focused business model that welcomes technological innovation.

“Executives are disconnected from their rising consumer base," the professor says. "They underestimate the power of and the cultural shift that has been brought on by emerging technologies.”

Dhar explains the drivers behind the technological shift:

° Moore’s Law. which states that raw computing power doubles every 18 months, making general purpose devices capable of rendering content at high quality

° The increasing level of digitization of virtually all types of content and the explosion of user-generated content: data on the Internet doubles every three months, and roughly 20 hours of new content is currently uploaded every hour on YouTube

° The modularity of software, which makes it easy to build new applications: while software productivity languished for decades, it has now kicked into high gear as object-oriented software makes it easy to plug-and-play self-contained modules into high-quality systems very quickly

Taken together, the three drivers are powerful disruptors of existing business models. Dhar suggests the publishing industry implement a digital strategy based on simple pricing and digital rights aimed at growing the market of readers.

“Increasingly, consumers prefer electronic delivery of their content. Publishers should tap this market and see it for what it is -- growth,” he says. “Would you rather have a piece of a growing market even if it’s a smaller percentage than before, or try and hold onto a larger piece of one that is crumbling?”

All the evidence to date suggests that defending obsolete business models isn’t a good idea, he says. His paper, “Information Technologies in Business: A Blueprint for Education and Research,” was published in INFORMS in 2007 with NYU Stern Professor Arun Sundararajan. The full paper is available for download at: http://isr.journal.informs.org/cgi/content/abstract/18/2/125 .

 
AAPL
$111.01
Apple Inc.
+1.60
GOOG
$509.20
Google Inc.
+4.31
MSFT
$46.98
Microsoft Corpora
+1.24
MacNews Search:
Community Search:

Latest Forum Discussions

See All
view counter

view counter
view counter
view counter
view counter
view counter
view counter

Brothers in Arms 3: Sons of War Review
Brothers in Arms 3: Sons of War Review By Jennifer Allen on December 18th, 2014 Our Rating: :: FUN BUT PUSHYUniversal App - Designed for iPhone and iPad Brothers in Arms 3: Sons of War could be great fun, but its plethora of freemium elements damage its chances.   | Read more »
The Snow is Falling on the French Countr...
The Snow is Falling on the French Countryside of Carcassonne’s Newest Update Posted by Jessica Fisher on December 18th, 2014 [ permalink ] < | Read more »
Creatures Such As We Review
Creatures Such As We Review By Jennifer Allen on December 18th, 2014 Our Rating: :: INTERESTING DISCUSSIONSUniversal App - Designed for iPhone and iPad Taking a more sedate approach to interactive fiction, Creatures Such As We proves to be quite thought provoking.   | Read more »
Stair: Slide the Blocks to Ascend (Game...
Stair: Slide the Blocks to Ascend 1.0 Device: iOS Universal Category: Games Price: $1.99, Version: 1.0 (iTunes) Description: Slide the blocks to ascend! Stair: Slide the Blocks to Ascend | Read more »
Give It Up! (Games)
Give It Up! 1.0 Device: iOS Universal Category: Games Price: $.99, Version: 1.0 (iTunes) Description: GIVE IT UP is a rather hard game where you have to assist this cheerful, singing Blob in jumping through 9 different tracks.So far it sounds easy.You have to feel the rhythm of our friends' frantic bounces with the help of the... | Read more »
The Drive : Devil's Run (Games)
The Drive : Devil's Run 1.0 Device: iOS Universal Category: Games Price: $.99, Version: 1.0 (iTunes) Description: ON THE ROAD AGAIN!The Drive - Devil’s Run is classic point to point style racing game that pays homage to the classics such as The Need for Speed and Test Drive.The game features five playable cars, from beginner... | Read more »
Procreate Pocket (Entertainment)
Procreate Pocket 1.01 Device: iOS iPhone Category: Entertainment Price: $2.99, Version: 1.01 (iTunes) Description: Create - anytime, anywhere.Made by the developers of the award-winning Procreate® for iPad®, Procreate Pocket™ allows you to sketch and illustrate concepts on the move, anywhere you find inspiration. | Read more »
IRON FINGER - Mini Games Championship (...
IRON FINGER - Mini Games Championship 1.0 Device: iOS Universal Category: Games Price: $1.99, Version: 1.0 (iTunes) Description: Quick to play, easy to learn yet hard to master.. TAP, SWIPE & TILT your way through mini games that are visually stunning, challenging & fun to play! IRON FINGER is the most addictive &... | Read more »
Pentaction: Medieval (Games)
Pentaction: Medieval 1.0 Device: iOS Universal Category: Games Price: $1.99, Version: 1.0 (iTunes) Description: Pentaction: Medieval is a turn-based strategy board-game about chance and skill on the battlefield. Take control of your army in combat, annihilate your foe’s troops or capture their King to win. | Read more »
Hipstify Review
Hipstify Review By Jennifer Allen on December 17th, 2014 Our Rating: :: COOL FILTERSUniversal App - Designed for iPhone and iPad Add filters, quotes, and fancy frames to your images, thanks to Hipstify.   | Read more »
All contents are Copyright 1984-2010 by Xplain Corporation. All rights reserved. Theme designed by Icreon.