I see a lot of proposed business models floating around, blog posts on what works and what doesn't for making a living off of storytelling online. So far, I really like the idea of "pay for what you like" - it's not only an impetus to produce quality work, but it's a direct feedback mechanism for the author. Essentially, the digital author offers content for free, but asks for donations from those who like the work. Novelr has some posts related to the theory and practice of this model. I've participated in this from a consumer standpoint: I download podcasts from PodCastle, EscapePod, and PodioBooks, and I use Duotrope as a resource for short story markets. All of these services are free, but I have given donations to all of them in appreciation and support of the quality of service they provide. And this was before I started my digital fiction crusade, before I recognized what the creators were doing, before I understood it from their point of view.
Pull up your mouse and watch me ramble over my writer’s life. Possibly feel better about your own life.