Earlier quoted context omitted.
You're assuming that the content has to have the same format as movies. Short videos (like the ones produced by CollegeHumor) can have a good script and quality visuals without involving a big budget. The market isn't "films". It is "entertainment".
> The market isn't "films". It is "entertainment". Kevin Spacey on this subject: http://www.youtube.com/watch?v=P0ukYf_xvgc .
Longform is largely separate. People rarely gather for a single 20 minute episode of something, they do gather for an 90 minute film.