Skip to main content

Static Growth for Media Giants

The four major media conglomerates will see zero growth in their home video profits next year, according to a Goldman Sachs research report. In the report, the Wall Street firm estimates that home video -- DVD and VHS sales -- account for about 26 percent of the annual profits for the combined companies historically, though that will fall to 23 percent next year.

The future of home video revenue also is dire, with single-digit growth projected next year and a high-single-digit decline in 2007, according to the report, which begins by asking the question: "The end of the golden goose?"

Popular posts from this blog

The Billions Bet on Tentative AI Demand

Gartner's latest worldwide IT spending forecast exposes a trend every CIO has already felt in budget negotiations. Total spending will climb 14.2 percent in 2026, reaching $6.37 trillion. It seems that the IT infrastructure market is simply having a strong year. However, the more useful insight is how unevenly that growth is distributed. The Headline Number vs. The Real Story Data center systems and infrastructure as a service (IaaS) are absorbing capital at a pace several multiples faster than devices, communications services, and traditional IT services. This is not incremental growth spread across a healthy portfolio. It is a wholesale reallocation of enterprise technology budgets toward AI infrastructure, made on the expectation that demand for AI workloads will justify the outlay before that demand has been fully proven. Where the Money is Going Data center systems are forecast to grow 62.5 percent in 2026, that's up from 51.6 percent growth in 2025, reaching $822 billion....
Read more