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Old 03-18-2004, 11:50 PM  
liquidmoe
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Join Date: Mar 2002
Location: NY
Posts: 4,994
When the industry first started there wasnt enough supply to fill the huge demand, that is finally starting to level out and a oversaturation is going to occur. Then there will be some hard times, the market will correct itself, a few players will get burned, mostly the small to middle men, but the big boys will remain. After that profits should go up a bit for them, when that will happen is a bit uncertain.

However, barriers to entry are almost nonexistent at this point, the only real trouble is content production with the legal work, studio, equipment and so forth and on the paysite front the fees involved in getting the project of the ground. Since that has the highest barriers to entry that will be the first market to recover after oversaturation weeds out the weakest players.

Just my but I'm intoxicated so dont blame me for any B.S.
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