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Consumers rarely "own" media when they pay for it. When you buy a DVD, you own the physical disc, but you do not own the intellectual property on it. You really only own the right to play the disc in your own home. If you owned the intellectual contents of the disc, it would not be illegal for you to burn copies and sell them. The same thing is true for TV, music, newspapers, magazines, etc. When you buy access, like buying a copy of Time magazine, you aren't buying the ownership rights to the pictures and stories. Likewise, media outlets know who is buying access to their products. So advertisers buy time or space from the media company to put their message out to a particular audience. Budweiser could start its own TV network to run Bud ads all day, but there would be a small audience. Instead, they can buy time from a network to put their message out during the Superbowl - they are buying access to the Superbowl audience. The only reason that media companies create content (TV shows, movies, articles, etc) is because a specific audience is willing to pay to gain access to it and as the content improves, the audience size grows, and advertisers are willing to pay more to have access to deliver messages to the audience.

by Ed

2 weeks ago

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