Corporations are now looking at the internet-subscription based model, where users pay a monthly fee to look at content on their website.
Barry Diller is the Chairman and Chief Executive Officer of IAC/InterActiveCorp, the company that runs the search engine Ask.com and the online dating service Match.com. Diller believes Web users will have to pay for what they watch and use.
Mr. Diller is now in a long list of businessmen, from Liberty Media Corp’s John Malone to Walt Disney CEO Robert Iger, who believe the era of free online content is coming to an end. Mr. Diller is also the chairman of Expedia Inc. and Ticketmaster Entertainment Inc.
In a Fortune Brainstorm conference in Pasadena, California, Mr. Diller said viewing published online content for free is “mythology.” He further added that there will be three streams of revenue: Advertising, subscriptions and transactions.
Currently, the world’s largest media group, Walt Disney, is developing a subscription-based product for the World Wide Web. Mr. Iger was also on-hand at the conference sand said, “We have ample evidence both in traditional and new media that people are willing to pay for quality, to pay for choice and to pay for convenience and they are willing to pay for what they perceive as value.”
Other media companies are seeking revenue from internet-based subscriptions. According to a survey for print subscribers, The New York Times is also looking to incorporate a fee between $2.50 and $5 per month for access to the newspaper’s website.