Aussies Apparently Get $24 Billion In Value From New Media (And Not Just From Stealing Torrents)

There's so many "new" media options out there -- YouTube, blogs, podcasting, torrents -- that it would be a brave soul who tried to calculate what the "new media" industry is worth. But the Boston Consulting Group has had a bash, calculating that Australians get $24 billion of "value" from new media, over and above what they actually pay for it.

In a study commissioned by Google, BCG also predicts that annual revenues from media in Australia will rise to $29.1 billion in 2016. I'd take that more seriously if I thought BCG actually understood how the different media worked. In quoting that $24 billion figure, it says:

The largest single contribution comes from online content portals such as BigPond, iTunes, and YouTube. Although consumers pay nothing for them directly, these platforms deliver a nationwide benefit valued at more than $9 billion per year.

If we're not paying anything on iTunes, then all those gift cards were a dumb idea, weren't they?

As for the torrents: they don't get mentioned in the report. Presumably if they were, the numbers would be even higher.

Boston Consulting Group [via Google Australia Blog]


Comments

    Is this using Rob Reid's "$8 billion iPod" Mathematics"?

      Unlikely as it is less than $1000 per head which is approximately the price of every person buying an album or DVD every week.

    they are idiots !!! As you point out, iTunes is not free, and nor is Big Pond, it is included in my (very expensive) internet connection. But probably the most expensive of all is Google, not only do I have to view advertising to use Google's services, I also give up a significant value of personal data for the service. So they clearly do not understand "free".

    + 1 Mike.
    I love studies like this; it's all based of grossly inflated valuations of what this media is actually worth, and places no value on 'new economics'. Just because I'm not handing over cash does not mean I am paying nothing. New media has a new payment model - these companies aren't charities, nothing is free.

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