Sony Pixel Power calrec Sony

Sunk Costs Fallacy The Curse of the Broadcast Industry

01/12/2022

The sunk cost fallacy is when we continue to do something because of our past decisions (time or money spent) rather than making a rational choice to change things up that could lead to maximising value or bringing greater efficiency.

The sunk cost effect is manifested in a greater tendency to continue an endeavour once an investment in money, effort, or time has been made.

Hal Arkes and Catherine Blumer (1985), The Psychology of Sunk Costs. Organisational Behaviour and Human Decision Processes, 35, 124-140.

Some examples of a sunk cost fallacy:

Sticking to a commercial strategy because it worked in the 80s even though revenues continued to decline

Eat all the food because I paid for it (even though I am full and feel a bit sick)

I am camping in a storm because I paid for the site and the car is packed

Trying to make legacy technology fit the demands of the modern media consumer

In the M&E space, the sunk cost fallacy can mostly be seen in the reticence to move away from LTO in fast turnaround archive workflows. The most prevalent instances of this fallacy can be seen in investments made in some of the larger format removable storage platforms such as LTO-7 and LTO-8, where it is felt that moving away from them would be too great a financial burden.

It must be said that the pandemic has accelerated the move away from LTO in sports and news workflows, but there are still a good number of organisations that we talk with that say:

I only bought the library 3 years ago, so come back in 2 years' time

I've used LTO all my career and won't be changing now

It's all paid for now, so I won't get any new budget

We just planned a migration from LTO 6 to 8, so the timing is not ideal

All of these statements are classic sunk cost thinking and totally preclude the possibility of implementing something new and more modern that can bring many benefits to media organisations.

In fact, if you are planning an LTO migration project, then the timing could not be more perfect to investigate, procure, and implement an object storage-based hybrid cloud archive platform.

Hybrid cloud platforms bring operational efficiencies and the ability to generate revenue from your archive. The cost of implementing this new technology will be paid back quickly and handsomely as editors, producers, and commercial partners will be able to self-serve access to archive content from wherever they are.

What makes hybrid cloud platforms so compelling is that they can be scaled up or down very easily and quickly to match the activity levels of a particular operation without requiring an expensive upgrade project.

So don't fall victim to sunk cost thinking explore the new and all the benefits that it can bring!

Want to find out more about hybrid?
LINK: https://object-matrix.com/sunk-cost-fallacy-the-curse-of-the-broadcast...
See more stories from matrixstore

Most recent headlines

05/01/2027

Worlds first 802.15.4ab-UWB chip verified by Calterah and Rohde & Schwarz to be demoed at CES 2026

Worlds first 802.15.4ab-UWB chip verified by Calterah and Rohde & Schwarz to be ...

01/06/2026

Dolby Sets the New Standard for Premium Entertainment at CES 2026

January 6 2026, 05:30 (PST) Dolby Sets the New Standard for Premium Entertainment at CES 2026 Throughout the week, Dolby brings to life the latest innovatio...

02/05/2026

Dalet Flex LTS Delivers Smarter Search, Faster Editing, and an AI-Ready Foundation for Modern Media

Dalet, a leading technology and service provider for media-rich organizations, t...

01/05/2026

NBCUniversal's Peacock to Be First Streamer to Integrate Dolby's Full Suite of Premium Picture and Sound Innovations

January 5 2026, 18:30 (PST) NBCUniversal's Peacock to Be First Streamer to ...

01/04/2026

DOLBY AND DOUYIN EMPOWER THE NEXT GENERATON OF CREATORS WITH DOLBY VISION

January 4 2026, 18:00 (PST) DOLBY AND DOUYIN EMPOWER THE NEXT GENERATON OF CREATORS WITH DOLBY VISION Douyin Users Can Now Create And Share Videos With Stun...

17/03/2026

FCC Announces TV Translator Call Sign Changes

Share Copy link Facebook X Linkedin Bluesky Email...

17/03/2026

2026 NAB Show Offering Free Show Floor Passes to Creators

Share Copy link Facebook X Linkedin Bluesky Email...

17/03/2026

QuickLink's Latest StudioEdge Models to Make North American Debut at NAB 202

QuickLink's Latest StudioEdge Models to Make North American Debut at NAB 202 Brie Clayton March 16, 2026 0 Comments The Multi-platform Remote Gues...

17/03/2026

Frankenstein Graded with DaVinci Resolve Studio

Frankenstein Graded with DaVinci Resolve Studio Brie Clayton March 16, 2026 0 Comments Sonnenfeld enhances the controlled interplay between warm and c...

17/03/2026

New Voyavox from Link Electronics with Real-Time Speech-to-Text Captioning to be Featured in NAB Booth #W2910

New Voyavox from Link Electronics with Real-Time Speech-to-Text Captioning to be...

17/03/2026

Berklee City Music Stewards META Fellowship Supporting Massachusetts Music Educators

Berklee City Music Stewards META Fellowship Supporting Massachusetts Music Educa...

16/03/2026

DAZN to Stream NCAA Men's and Women's Basketball Tourneys Free in Select International Markets

DAZN will allow fans in select international territories to watch the NCAA men&#...

16/03/2026

IDM and Skate Board Association Announce Arena and Training Complex Planned for Big Bear Lake

IDM and The Skate Board Association (SBA) have announced a partnership with Coop...

16/03/2026

NAB 2026: Solid State Logic Introduces ST 2110-to-Dante Converter

Solid State Logic (SSL) will debut the Net I/O ST 2110 Bridge at NAB 2026 (booth C6907), a standalone unit that converts between ST 2110 and Dante audio formats...

16/03/2026

NAB 2026: Marshall Electronics Launches First 4K All-IP Weatherproof NDI Camera

Marshall Electronics (Booth C8339) is introducing its first all-IP 4K POV camera, the CV574-WP, at NAB 2026. The camera carries an IP67 weatherproof rating for ...

16/03/2026

Sony Expands Camera Authenticity Solution to Support Video

Sony Electronics' Camera Verify (beta), a feature of its Camera Authenticity Solution which enables news organizations to share content authenticity informa...

16/03/2026

FloSports and Storied Sports Partner on Women's and College Sports Content

FloSports has announced a partnership with Storied Sports, a content and IP studio founded by former espnW and The Players' Tribune executives, to develop s...

16/03/2026

Montreux Jazz Festival Names Gravity Media as A/V Production Provider

Montreux Jazz Festival has announced a multi-year collaboration with Gravity Media, who will become the Festival's Audio Visual Production Provider followin...

16/03/2026

USSI Global Names Ralph Annunziata Senior Vice President of Operations

USSI Global, a provider of customized network, broadcast and digital signage systems and services, has announced Ralph Annunziata joined the company on Jan. 5 a...

16/03/2026

NAB 2026: Boland Communications to Show New OLED Displays and Video Wall Applications

Boland Communications (booth C3519) will exhibit at NAB Show 2026 in Las Vegas, ...

16/03/2026

ST 2110 On The Go? A Peek Inside BRISK, FOX Sports' Broadcast Remote IP Studio Kit

Built in partnership with Diversified, the system As the sports broadcast indus...

16/03/2026

Amagi Report: FAST Viewership Up 21%, AI Adoption Growing Across Media Operations

Global FAST (Free Ad-supported Streaming TV) viewership grew 21% year-over-year ...

16/03/2026

Behind The Mic: Netflix, NBC Tap Matt Vasgersian to Call MLB and Tony Dungy Is Out at NBC

Behind The Mic provides a roundup of recent news regarding on-air talent, includ...

16/03/2026

Cloudvocal launch the SonoFlex instrument mic

Promises studio-grade fidelity for the stage Cloudvocal have announced the launch of a new instrument mic designed for professional live performers and engi...

16/03/2026

Kenton reveal the USB Solo Mk2

Popular MIDI/CV converter & interface overhauled Kenton have announced the launch of the USB Solo Mk2, a new and improved version of their compact MIDI to C...

16/03/2026

Sonarworks Spring Sale

Running from 16-29 March 2026 Starting from today (16 March) and running until 29 March 2026, Sonarworks are offering discounts of up to 40% across their ra...

16/03/2026

L3Harris Carries Goddard's Legacy Into a New Era

Dr. Robert H. Goddard and a liquid oxygen-gasoline rocket in the frame from which it was fired on March 16, 1926, at Auburn, Massachusetts. Credit: NASA....

16/03/2026

L3Harris Military GPS Receiver Deliveries Surpass 100,000 Units

Precision-guided munitions shown in production illustrate one of many operational systems benefiting from modernized M-Code GPS, supporting assured positioning,...

16/03/2026

A+E Global Media Signs New Multiyear Deal With Nielsen Covering Audience Measurement and Media Intelligence

NEW YORK - March 16, 2026 - A E Global Media and Nielsen today announced a new,...

16/03/2026

aconnic ramping up delivery of commercial 100-gigabit system

aconnic AG (ISIN: DE000A0LBKW6), Munich, is delivering the first commercial 100-Gigabit systems following successful validation and certification for customer n...

16/03/2026

Spectrum Launches Multiview for March Madness

Share Copy link Facebook X Linkedin Bluesky Email...

16/03/2026

Ikegami To Spotlight Latest UNICAM 4K-UHD Cameras At 2026 NAB Show

Share Copy link Facebook X Linkedin Bluesky Email...

16/03/2026

A+E Global Media Signs New Agreement With Nielsen

Share Copy link Facebook X Linkedin Bluesky Email...

16/03/2026

Shotoku Brings Broadcast-Grade Control to PTZ with New Au...

Shotoku USA, Shotoku Broadcast Systems' North American operation, will unveil significant additions to its platform at NAB 2026. Topping the list is the wor...

16/03/2026

Ikegami to Showcase Latest Generation TV Production Camer...

Ikegami USA will demonstrate the latest additions to its wide range of broadcast-quality cameras, controllers and monitors on Central Hall booth C3819 during th...

16/03/2026

[Updated] Carr Threatens Broadcast Licenses Over Iran War Coverage

Share Copy link Facebook X Linkedin Bluesky Email...

16/03/2026

ELEMENTS launches GRID at NAB Show 2026

ELEMENTS launches GRID at NAB Show 2026 Brie Clayton March 15, 2026 0 Comments North Hall, Booth N1717 ELEMENTS returns to NAB Show 2026, with an exp...

16/03/2026

Blackmagic Design Cameras Capture Artist Salavat Fidai's Micro Sculptures

Blackmagic Design Cameras Capture Artist Salavat Fidai's Micro Sculptures Brie Clayton March 15, 2026 0 Comments 6K sensor and open gate capabilit...

16/03/2026

DHD to Introduce Latest Generation Broadcast Audio Mixers at NAB 2026, Las Vegas

DHD to Introduce Latest Generation Broadcast Audio Mixers at NAB 2026, Las Vegas Brie Clayton March 15, 2026 0 Comments Hero image: Front of DHD RM1 P...

16/03/2026

VEON Files its 2025 Annual Report on Form 20-F

16 Mar 2026 VEON Files its 2025 Annual Report on Form 20-F Dubai and New York, March 16, 2026 - VEON Ltd. (Nasdaq: VEON), a global digital operator ( VEON'...

16/03/2026

Sky Commissions The 100 Day Split, A New Relationship Series Exploring What Time Apart Reveals About Lifelong Love

Six Couples. 100 Days Apart. One Question: Does Absence Make the Heart Grow Fond...

16/03/2026

Tina Fey, Jamie Dornan and Riz Ahmed announced as first three hosts of Saturday Night Live UK

Monday 16 March 2026 Tina Fey, Jamie Dornan and Riz Ahmed announced as first th...

16/03/2026

Netflix Has Released the Trailer for 'Love at Last,' Starring Eda Ece and Kaan Yildirim

Back to All News Netflix Has Released the Trailer for Love at Last, Starring Ed...

16/03/2026

All UK national newspapers move to private circulation reporting while remaining audited by ABC

The reporting option was introduced following extensive consultation with publis...

16/03/2026

Rose of Tralee Katelyn Cummins wins Dancing with the Stars 2026

After a nail-biting Grand Finale, Rose of Tralee Katelyn Cummins has been announced as the winner of Dancing with the Stars 2026. The four finalists each dance...

16/03/2026

New RT series Welcome to Moore Street gives a glimpse into life on iconic Dublin street

Welcome to Moore Street will begin on RT One and RT Player on Thursday 19 Marc...

15/03/2026

Visit ToolsOnAir at NAB Las Vegas 2026

Visit ToolsOnAir at NAB Las Vegas 2026 More Details:From April 19-22, join us at NAB Show Las Vegas in the North Hall, Booth N1258, for an exclusive preview of...

15/03/2026

Outland III from The Very Loud Indeed Co.

Latest dark drama, thrillers & tension library announced The Very Loud Indeed Co.'s latest Kontakt library has just arrived, delivering a third instalme...

15/03/2026

19TH ANNUAL SOUTH AFRICAN FILM AND TELEVISION AWARDS (SAFTAs) CELEBRATED THE BEST OF THE SOUTH AFRICAN FILM AND TELEVISION INDUSTRY

Johannesburg, 14 March 2026 - On 13 and 14 March 2026, the 19th Annual South Afr...