M+E Daily
Capgemini/In-Stat Tackle Digital Entertainment ‘Dilemmas’ In White Paper
Story Highlights
The evolving entertainment ecosystem poses five “dilemmas” for content companies and service providers:
• How to dramatically improve how content is created and managed using a “lean” approach;
• How to protect intellectual property as new usage models come into vogue;
• How to guarantee that the consumer experience brings customers back for more;
• How to manage a wide variety of business models to optimize revenues; and
• How to leverage what is learned as these new approaches are implemented.
So says a new white paper, “The Digital Entertainment Revolution,” produced by Capgemini and In-Stat.
The paper offers up the story of the U.S. home entertainment industry as a microcosm of changing business models. While In-Stat expects U.S. DVD disc sales to decline from $13.3 billion in 2008 to $3 billion in 2013, it looks for Blu-ray sales to rise from $750 million in 2008 to $8.4 billion in 2013. Video-on-demand distribution on Pay TV, meanwhile, will grow from $554 million in revenues in 2008 to $3.9 billion in 2013. Irrespective of new business models, however, overall U.S. movie sales and rentals will post negative growth of 1.2% over the next three years.
“U.S. movie studios,” the report says, “are going to need to re-engineer their internal operations to reduce costs, and manage their investments in new technologies very carefully if they are to deliver increasing profits in what is, overall, a flat-growth market.”
The study examines content creation and distribution, while profiling shifting consumer preferences as well. Capgemini offers the white paper for download at its website.
