Linked by Thom Holwerda on Mon 1st Mar 2010 21:59 UTC
Multimedia, AV "A lot of commercial software comes with H.264 encoders and decoders, and some computers arrive with this software preinstalled. This leads a lot of people to believe that they can legally view and create H.264 videos for whatever purpose they like. Unfortunately for them, it ain't so."
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RE[6]: Greed
by lemur2 on Tue 2nd Mar 2010 22:19 UTC in reply to "RE[5]: Greed"
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Where did you get 10k stations from? It's 10k per year if you have a market of over 1 million people. Very few HD markets are that large. Most Americans still don't have an HDTV. They aren't going broke but you're speculating a bit much here.

There are 61 cities with population of over 3 million.

There would probably be over 500 cities with population of over a million. The small city where I live just makes it into this club, and there are 10 broadcast free-to-air stations and probably over 50 cable-tv stations that supply digital TV to that small market. The largest of the cities would have upwards of a few hundred stations supplying digital tv signal (in some form or another) into their market.

10k stations in all is a guess, but I'm sticking to my guns that the figure (from digital tv transmissions alone) is somewhere in the region of 10k stations worldwide. $100 million per year income for MPEG LA from this source alone is probably a conservative estimate.

Then there are, of course, digital TV receivers also requiring a license (pricing structure here is entirely different of course). Then there are video cards for computers, laptops, netbooks, tablets, handhelds and smartphones. I'm guessing that this source would out-strip the income from digital tv transmissions.

Lets call it a tax take of perhaps $300 million per year.

Not a bad yearly rip-off intake for something that cost you only a one-time investment of a few tens of millions some years ago. I don't imagine that there are too many areas of the economy left where you are allowed to siphon off a huge yearly intake for no ongoing outlay.

When I say not bad ... I of course mean not bad for MPEG LA members, who do nothing but sit back and rake it in, year after year. It is quite a drain on the rest of the economy, of course. Google for "deadweight loss" to find a bit more about this.

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