It doesn't matter if you deliver those movies for 1 cent. If you have no model in place to recover that 1 cent and to make 1 more cent for profit, you have failed.
The same 500 movies you can buy for $3000 have already been ripped, encoded, compresses, and distributed 100 times over on the torrents. They are probably all over the 'tube sites as well, and they are being trades amoungst friends over and over again for free.
Thinking that you can VOD this stuff for even $1 is a nice idea, but the reality is as every day goes by, there are more and more people who know how to get porn off of a torrent, and less and less people wanting to pay for porn. The customer base for porn is basically people too stupid or too scared to download a torrent file or too ignorant to do a search on google and visit a tube site.
The more this goes on, the less need there is for everyone in the food chain. Affiliates drop off, programs die, demand for fresh content drops, and people like yourself are cut out of the game (except for sites you run yourself) and the return on those sites gets smaller.
Don't worry about it. Go ahead and dump all your content on the tubes and enjoy the signups you get. They won't last.
