@bnchrch
Napkin Math:
What if you could host something forever?
- The average rate of return is 4.8%
- Cost to store 1 gb of video per month is $0.088
- A 1 hour 4k video is 20gb
This means
- Per year hosting for 1 hour of video is ~$24.
- The amount you need in the market to support this is $500 (assuming no other costs and perfectly average returns)
If you wanted to turn this into a business making a modest $250,000 per year:
You could 2x the invested amount
- Take the remaining yield ($24 per year per user)
- Find 10,400 customers
Or 10x the invested amount
- Take the remaining yield ($216 per year per user)
- Find 1,157 customers
Yeah... probably a bad business.