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Originally Posted by shadman
im sure they have done the math and even if they lost three quarters of there customers it still must be worth it.
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I'm also reasonably certain that they know what their operations, licensing, resource and other costs are per month, year and so forth. Still, this is a business ... if they don't feel the profits being made are worth the venture at some point, I expect them to just close up and leave on their own timeline, rather than ours. Plenty of businesses close only after they've gone far beyond the point of being saved.
They could always be acquired or even partner with another music site that's currently less under the gun. Possibilities exist to further their current service model. But, without a remotely reliable means to accept payments - their
primary means of income that we know of - you've got to wonder when they'll realize it's time to turn off the switch or severely alter their business. Napster went through something that wasn't too different, really.
US and European online music vendors have much to learn about why AllOfMP3 was so successful (beyond the debated copyright payment issues). Part of how they attracted and kept customers is to be applauded and admired.
But right now, they are suffering under something more than a few payment vendors pulling out due to minor disagreements. International politics and related trade agreements are pressing on their heads. Political bodies, which have the worst kind of hands to hold any hammer.
Quote:
Originally Posted by shadman
plus i think this whole closure has made many long time customers spend more money. what a great marketing idea!!
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Hahaha - very optimistic! I'd say that they're simply "on the run" right now. How many businesses that were under the legal/political gun wouldjust change names or locations, then set themselves up again using the same model that made them run in the first place? Eventually, some runners get caught, others find ways to hide under the radar or constantly keep moving. Not trying to be a downer, but the hope being expressed here seems kind of against reality ... until something monumental changes the situation.
Like I said, binging while the binging's good seems a reasonable way to look at things now.