Ads have been funding content for centuries, and that includes newspapers, magazines, radio and TV. In most cases, people have never had to pay the full cost of producing the content they consume, which may well have resulted in them undervaluing content across the board.
When commercial content providers (newspapers, magazines, radio and TV etc) moved on to the web, they naturally brought their ad-funded business model along with them.
> " In most cases, people have never had to pay the full cost of producing the content they consume"
That's debatable. It's worth remembering that before the Internet, many traditional forms of media had multiple income streams, of which advertising was only one. Would it have been possible to produce TV and radio content based on a subscription-only model? Seemed to have worked out fine for the BBC. Newspapers and magazines would have taken a hit, but if revenue was based on sales alone then it's certainly possible some of those institutions could have survived on this.
In other words, it's not a case of working with zero money it's a case of working with less money.
Newspapers and magazines, for example, had multiple income streams, but as the cost of printing newspapers climbed, an increasing percentage of the cost shifted onto advertising. Many reached the point where it made more sense to give the product away free, so advertising paid for 100%.
Subscriptions can work, but usually that's only for small quantities of high-value content, aimed at specialist audiences.
Go to your local stationer and find out how much it would cost for 200-300 sheets of high quality paper, then ask a printer about the cost of printing content on them.
Sky encrypts its content, and its subscriptions are certainly enforced by the whole legal system. Try forging some Sky cards or even using a personal account in a public setting, such as a pub, and you may well find out....
You're missing the point. The point is that it's possible to deliver subscription-type models for broadcast media without needing close ties with the state. Public broadcasters like the BBC could use the same type of encryption as Sky, for example.
> "The BBC has police to enforce its subscriptions - a model not easily reproduced by private companies."
If you're going to reply, at least consider the context in which the comments were made. The original point I was responding to was that subscription models only work in state supported media outlets. My assertion was that Sky proves that subscription models are possible outside those restraints.
Furthermore, even if there was a case where a company was not supported by the law, subscription models can still exist. There are examples online of subscription services for illegal content. One could argue that Usenet subscriptions in the broadband era fall into this category, the chances that people are currently paying a monthly fee to access the discussions is somewhat slim.
When commercial content providers (newspapers, magazines, radio and TV etc) moved on to the web, they naturally brought their ad-funded business model along with them.