"We are doing that because of two or three reasons if I can articulate them for you. One is that the adoption rate for broadband has increased dramatically. Combined with the equally dramatic decrease in the cost to serve video. And I guess the third reason which is right up there in the primary category would be a demand, an interest from the advertisers in the advertising market place." CNN is not saying how many people were subscribing to the content before either directly or through RealNetworks. And it won't say how long it will take for the business to make money. But there are plans to launch a paid premium service later this year. How will it differ?
"What we can tell you today is that it will feature multiple streams of live video which will be part and parcel of that particular product." For now…the free service includes hourly two minute updates…along with features in a variety of categories. Bloomberg Boot Camp, I'm Fred Fishkin.