Problems Identified

Challenges we identified that birthed Cloudax.

Technological Disruption of the content-driven industry

Technological changes drive cultural changes, behavioural changes, and new consumption habits. Ignoring the changes has led to the extinction of many companies and disrupted all industries. History teaches us that incumbents are terrible at recognizing and adjusting to technological and cultural differences. Technological revolutions like the internet and social media have constantly affected the content and publishing industry. All these technological developments came from outside the news industry but affected their business models. At every turn of these technological transformations and behavioural changes, the industry had to change its way and adjust to the realities outside its control.

Insufficient Revenue Generation for Content Providers

The content industry cannot be expected to lead technological revolutions since its focus is creating enjoyable and viral content. The era of blockchain technology and cryptocurrencies is now upon us. How will they affect the content industry (mainly those inclined towards producing wholesome or faith-based content) when already most of such material is legally available for consumers to consume for free?

Today, 85% of consumers believe that content on the internet that is currently free should remain free. This is not an encouraging number for content creators and publishers concerning paid content and premium subscriptions. Publishers relied on advertising-based revenue models to generate profits by not getting consumers to pay for content. This revenue is insufficient and reinforces the notion in the consumers’ minds that the natural state of online content is to be free. As a result, most consumers have developed psychological barriers against paying for wholesome content with the money they earned through diligent work.