Mark Cuban: Online Video Ad Market Will Collapse

Mark Cuban, dot-com billionaire, Dallas Mavericks owner, HDNet chief and widely read blogger, gave a talk at the UBS Media conference. In a brief research note, UBS analyst Aryeh Bourkoff provided a summary. Some of the high points:

• Cuban believes the high cost of converting standad definition content to HD is “prohibitive.” He thinks standard definition content will eventually become the TV world equivalent of AM radio.
• Cuban says 64% of the HDNet subscriber universe watches HDNet weekly; 16% watch daily.
• Cuban asserted that online video will be less able to compete with broadcast ad sales and that CPMs on Internet video will collapse given increased inventory.
• Cuban thinks content owners are waiting to see if Google (GOOG)/YouTube will pay for content before litigating.
• Cuban thinks it would be a mistake for Yahoo (YHOO) to buy Facebook as younger “demos” move on once properties become commercialized.
• Cuban thinks click fraud remains a meaningful issue.

Comments

[Sufiy:]

Google has developed Bearish Reversal pattern Double Top and Technical Picture is confirming detereating fundamentals:

sufiy.blogspot.com/200...

2006 Dec 10 01:49 PM