Digital Watermarks (long, getting off-topic)

[Alex F]

> >>Isn't it odd that when music is sold, CD's are MORE expensive than cassette 
> >>tapes, even though you _know_ that the manufacturing cost of CD's is less?
> >
> >CDs sell for more because buyers decided that they wanted a wider range of
> >titles with shallower sales (hence higher unit costs) rather than a narrower

> I'm afraid that quantitatively, this is utter nonsense.  
> 
> A relevant data point is the fact that for about $1000, anybody can have 
> 1000 copies of a custom CDROM manufactured.  That, by music industry 
The real; answer to all of these points is too simple.  

"Because they can"

A lot has to do with percieved value.  If consumers would have 
thought that the prices were way too high, then the market would have 
dictated a lower cost eventually.  I think that the price of CDs vs 
tapes is more a marketing issue than a technical one....

Alex F
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Alex F    alexf at iss.net
Marketing Specialist
Internet Security Systems
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