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A while back, I mentioned the new copy protected CDs. Over on the Pho mailing list, SunnComm's VP talks about the actual cost to include the copy protection on a given CD.
The per-disk cost for MediaMax ranges from 8 cents down to 5 cents depending on volume. There is also a per-project/album set up cost.
In most cases, the increased revenue from minimizing the sales drop off in the initial weeks of the CDs commercial release more than covers the MediaMax cost. This is "found money" which, in several cases, has amounted to $200,000 - $400,000+ in additional PROFIT (not revenue) to the record label and the artist! As I showed you, we have had Gold and Platinum CDs with SunnComm's MediaMax M4 technology included.
I'm still rather skeptical that the additional revenues outweigh the costs, but I suppose the market will pretty conclusively determine if this is a good idea or not.
Posted by Casper at August 24, 2004 12:34 AM