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SMS at $0.10 per text is an excellent example: it was total a failure as a business model. Every provider in north america, even prepaid, now offers SMS servic
by hapless 11y ago
SMS at $0.10 per text is an excellent example: it was total a failure as a business model. Every provider in north america, even prepaid, now offers SMS services on a monthly basis. It was critical to uptake.
A $0.99 song from itunes isn't a micropayment. It's a dollar paid for a music track you are likely to listen to over and over. Additionally, you knew what you were buying because you heard the music for free on the radio or in a club.
Journalistic work doesn't fit the iTunes model. News and blog posts tend to be fire and forget. Nobody will pay $1 up front, and once they've consumed the content once, they no longer need to pay for it.
- flashman 11y ago'Total failure' is a pretty strong description. 'Dominant text messaging billing structure for over a decade' comes closer. And I think it's an important distinction that per-message charges disappeared because they were out-competed by flat plans, not because people weren't willing to pay per-message fees.