Porn

June 5, 2007

Contrary to conventional wisdom, the porn business is much smaller than Hollywood. The total size of the porn business is unknown, but Forbes guesstimated that it is far less than $3 billion. Total global revenue from the major Hollywood studios is around $50 billion, where half came from DVDs. The conventional wisdom often grants porn mystical powers to pick winning technologies. This is due to the fairy tale that porn decisively backed VHS over Betamax. This proves to be a gross overstatement. The primary difference was that VHS tapes recorded for 3 hours, but early Betamax only taped 1 hour. To tape a TV movie required 2 expensive Betamax tapes, and a crazy contraption to swap tapes after 1 hour. Obviously people preferred to buy 1 VHS tape that could record a movie without any hassles. Let me say that I enjoy porn just as much as any lonely misogynistic loser… but it’s a minor player in media and technology.

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