One metric catches people. We prefer businesses that drown in cash. An example of a different business is construction equipment. You work hard all year and there is your profit sitting in the yard. We avoid businesses like that. We prefer those that can write us a check at the end of the year.
If you're a teenager in Palo Alto launching an app, you know from the outset how you plan to finance your business.
We make our profits through content and services.
Life is so simple, really. Think through what people want, watch what others fail to give them, and provide it. Then bill'em.
Shows don't reunite because television doesn't work that way. There's no profit model and people go off to do other work.
A business model describes how your company creates, delivers and captures value.
Chasing profits and building a long-term profit model are two different things.
I think if you create something and you get an audience for it, then the monetization part is really secondary.
Not long ago, the term 'business model' was not exactly on the tip of everyone's tongue. Then, in the early to mid-1990s, 'business model' became a catchphrase that described how a company makes money or saves money.
If one asserts that buying customers below what they charge them is a corporate strategy, this is in essence an arbitrage game, and arbitrage games rarely last.
It's extremely hard to build a company with a product that everyone loves, is free and has no business model, and then to innovate a business model. I did that with Kazaa, had half a billion downloads but that wasn't a sustainable business.
The best businesses that all of us have in the entertainment business are cable content channels, which have a dual revenue stream.
Insurance companies don't make anything.
I'm always amazed at how many people assume a business has to lose money before it makes money.
We have these services that people love and that are drivers of data usage... and we want to work this out, so that way, it's a profitable model for our partners.
I pay low wages. I can take advantage of that. We're going to be successful, but the basis is a very low-wage, low-benefit model of employment.
I don't think Hollywood will be the place that innovates great technology, but if people underestimate how they monetize content, they're sorely mistaken.
Facebook done a great job of monetizing social.
Social media is an information channel; it's like radio or TV... In Cisco, we made a lot of money on public protocol. I think the social media model replicates that protocol.
Some of the largest financial institutions can build a profit model on tricking people.
