They have a distribution cost. Those cloud servers are not free :)
On 7/7/2011 10:21 PM, Dylan Reeve wrote:
> It's worth considering that Apple sells something like 10million computers a
> year (probably more now, that number is a couple of years old). If FCP X can
> run on pretty much any of those computers made in the last 3-4 years then by
> the end of this year they'd be looking at at least 40million possible users
> (or comptuers anyway).
>
> At $300 it's cheap enough for many people to buy without too much thought.
> It's also basically user friendly enough for any reasonably tech-savvy
> person to use. If you made a venn diagram with "People who own Macs" and
> "People who have decent video cameras" the intersection is basically
> potential FCP X users. 5 million sales doesn't seem unreasonable.
>
> Also selling direct through App store is basically 100% profit for Apple.
> They have zero manufacturing or distribution cost, and no wholesale margin
> to consider.
>
> That almost exactly why I think that FCP X isn't going to return to the
> "pro" tool that it was in FCP 7. That complicates the app, increases the
> development cost and makes it less desirable to more inexperienced users.
>
> Dylan Reeve
> http://dylanreeve.com/
>
>
> On Fri, Jul 8, 2011 at 11:23 AM, Philip Hodgetts<
> philip@intelligentassistance.com> wrote:
>
>> **
>>
>>
>>
>> On Jul 7, 2011, at 3:44 PM, Steve Hullfish wrote:
>>
>>> I don't believe that FCP X is going to bring in 1.5 billion. I have no
>> proof, but ... no way...
>>
>> 2 million by $300 = $600 m; 5 million by $300 = 1.5 billion. You don't need
>> proof, just rudimentary math skills.
>>
>>> Computers, laptops, iPads, iPods, iPhones, iTUNES, video and film
>> revenue, apps, software, OS X? There's no way a single $300 app is even 8%
>> of that.
>> 5 million of them are.
>>
>>
>> Philip
>>
>> Philip Hodgetts
>> President, Intelligent Assistance
>> Conquering the metadata foundations of Final Cut Pro X
>> http://bit.ly/mBDqIY
>>
>> Personal Blog http://philiphodgetts.com
>> Cell 818 335 3916
>>
>>
>>
>
> [Non-text portions of this message have been removed]
>
>
>
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