Video Clips & Animation for 5 bucks

Peter Sargent | August 22, 2006, 04:59 PM

In my last blog, I talked about Getty's emerging 'rights-ready' licensing model as a response, in part, to the emergence of players such as iStockPhoto and their sale of images at "bargain basement" prices. Earlier this month, iStockPhoto announced the sale of video and animations for as little as $5 per clip. The footage is user-generated, where videographers (professionals and amateurs alike) can submit video for sale.

The effect that a model like this has on images sold by Getty, Corbis, and JupiterImages is one thing, but does the same threat translate to their video libraries? My guess is no.

Sure, HD video cameras/camcorders are becoming more prevalent, but it's not quite as simple for an amateur to replicate the same or similar video quality to that of professionals. It's still rather difficult and expensive to create good/high quality motion. Users at iStockVideo must submit their video for acceptance, but it's not as if there's any quality control behind this. iStockVideo merely ensures no copyright violations or inappropriate content is published, and offers basic tips on shooting quality video....nothing more.

Compare this to images, where even I could take a decent snapshot with my 4 mega pixel Canon (you should see the shots I got at the women's AVP tournament at Coney Island this weekend!).

Another interesting point that was recently brought to my attention and could support the idea that user-generated video won't penetrate the stock video market, the same way amateur images is creeping into the stills market: unions.

There is no such thing as a photographers' union. Thus, images can be created for sale by virtually anyone who posseses the technology and skill. However, the International Alliance of Theatrical Stage Employees (IATSE) and other motion picture unions have (historically) been extremely prominent. It stands to reason that such entities won't stand idly by and see it's market undercut by amateurs. Assuming this user-generated video market continues to grow, I wouldn't be surprised to see the motion picture unions sweep into action and make high quality video very difficult to publish.

So all-in-all, iStockPhoto is likely to attract many of the same video publishers from YouTube or MySpace, rather than professionals. Thus, iStockPhoto appeals to a market segment which is significantly different than companies like ThoughtEquity, Getty, and others in the stock video market.

Peter Sargent - Research Director