I see this report stating that the iTunes video model will soon peak and not be successful, which I find pretty funny. The reason I find it funny is because it seems like a wanna be self fulfilling prophecy by big media, who just doesn’t get Internet media. Sure the instant gratification is great, but most people would rather use the VOD features of their main provider if that is their main goal. The reason why people download content from the iTunes Music store is the same reason they buy DVDs; they want to own the content and they want to watch it when they want, where they want. Saying the iTunes Video model will not survive is like saying DVDs will stop continue to be successful. The other models require that you be at your computer and you can’t fast forward through the advertisements.
When will these analyst learn that it is the freedom to watch what we want, when we want that makes iTunes –and DVD for that matter– popular.