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I'm not a user either but $40 at their current subscriber number comes in at a quarter billion dollars of revenue. How come everything else takes advantage of economies of scale but not virtual goods? $2 a month at scale would be great. Even greater if they allowed you to log into any of a number of fitness video services.

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From Peloton’s point of view (bottom line yadda yadda), you’d have to think that dropping to this price would 20X their subscriber count. Which is not to say that $40 is the correct profit maxima, but it almost certainly isn’t $2.

Just because something can be offered cheaper at scale, doesn’t mean it should or needs to be.

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