Analysis of Distribution Strategies of Online Digital Contents by Game Theory
Date Issued
2008
Date
2008
Author(s)
Wu, Chih-Kuang
Abstract
Internet had become an important media to distribute digital products. We attribute this to the improvement of network bandwidth and compress technologies. As more and more resources can be found on Internet, this media changed the business model of digital industry significantly. Not only digital content provider can be benefited, consumers who had bought a digital product can transmit their own files to others easily and almost freely. We can say that the improvement of Internet technologies lowered the cost of transmission of digital contents, also lowered the bound of illegal transmission.treaming is a solution to digital content piracy. Digital content provider can use streaming technology to offer digital content to users and prevent them from downloading files from content providers. Although streaming provides a secure environment for content providers to sell their product, it has some infections. Streaming content is more un-convenient then files and consumers feel they don’t really “have” these contents. Streaming also requires content providers to do more investment to improve their bandwidth and the security of their servers. n this paper, we found that feedback mechanism can make some consumers won’t do illegal distribution because of the rewards from content providers is better than doing illegal distribution can get. So, content providers can offer file downloading service to these consumers and this may be the best result to both content providers and consumers.
Subjects
digital content
piracy
electronic commerce
game theory
multi-level marketing
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