News

On-line Content Spending

Q1 2002

by Russ Lockwood

A news item from BusinessMedia. MagWeb.com was a pioneer. --RL.

Paid Online Content Grows 155% to $300 Million in Q1, 2002

The Online Publishers Association has announced the results of its first U.S. Market Spending Report for paid online content. The study, conducted by comScore Networks, determined that the U.S. Internet audience spent $675 million for content in 2001, a 92 percent increase over 2000 spending levels. Further, industry growth accelerated into the current year, as U.S. viewers spent $300 million for online content in the first quarter of 2002, a 155 percent increase over the same quarter last year.

The OPA/comScore study found that spending in nearly all content categories grew more than 100 percent in the first quarter of 2002 versus the same quarter last year. In the first quarter of 2002, the top three categories--Business Content, Entertainment and Personals/Dating--accounted for 59 percent of all online content spending.

The study specifically excludes revenue generated by pornographic sites.

And another...

ABC News On Demand

Allows viewers a chance to watch news on their schedule at a cost of $4.95 a month. News On Demand includes "World News Tonight with Peter Jennings," "Nightline," and "Nightline UpClose" in their entirety, the morning after the live broadcast. The service also includes 30 days of archived shows. In addition, the subscription provides portions of "Primetime,” "20/20," "Best of Nightline," "Good Morning America” and Sam Donaldson's radio show "Live in America."

"Our purpose is to provide the American people with quality news reporting,” said David Westin, president of ABC News. “ ‘ABC News on Demand’ permits us to make our coverage available to individual members of our audience when and where they want them. Now we can provide the quality of carefully-reported and produced network news reports together with the convenience that, until now, has been associated only with cable news."

“The move to create 'ABC News On Demand' further validates the trend for media companies to provide a robust, high quality digital media experience to consumers for a fee," stated Rob Glaser, chairman and CEO of RealNetworks, Inc. "With the marriage of content and technology offered within RealOne Player, the PC desktop is edging closer and closer to a cable TV experience, giving consumers, at home and at work, the ability to follow breaking news or watch last night's 'World News Tonight' on their computers."

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