XXXJay of OC Cash and Jays XXX Links announced yesterday the he and some other heavy hitters will be filing a class action lawsuit against many of the tube sites that use stolen content. This is interesting and potentially big because it is the first time anyone from our industry has actually stepped up and done something about these sites. There has been a lot of complaining, now there is action.
I have always thought that tube sites, at least the ones that give away full length movies and hours and hours of video, were a business model that was born to fail. When you give away that much content you cant sell memberships to other sites. This leaves you with limited income options and eventually those advertisers will get stale and the income from your site will start to drop drastically forcing you to either change your model (IE give away less) or close down. Many of the big tube sites are for sale. The owners are trying to cash in on them while they have a ton of traffic and are making some money but even industry giants like Vivid arent buying because they see no way of profiting long term from these sites. If you add in that many of the biggest sites illegally use full length videos from other peoples members areas it brings about just that much more potential problem.
In the long run I think tube sites will always be around but I think they will be more like TGPs where they offer much smaller video clips and they use only licensed and approved content. In the mean time they are causing harm by teaching the surfers that you can, in fact, get hours of video free so there is no need to pay.
Jays class action lawsuit may not shut them down, but it could hurt them and encourage them to start just giving away an acre, instead of the whole farm and that is a very good thing.