have you got any evidence of this?
AFAIK quite a few journals are not for profit so we can rule them out - of the private ones are they really such a huge cash cow? Is there some massive market inefficiency here that competitors are missing?
Any evidence they are not?
I'm purely going off amount of bandwidth needed (next to none)so the hosting is going to be relatively low i.e a fraction of the cost of say netflix, spotify etc.
The relatively low amount of staff needed for them to run vs the amount of revenue they must bring in due to every university, business, private individual buying access.
I would guess their cash flow will be well over a billion just going off the university subscriptions which in effect universities are forced into due to no other options. That's without taking into account big business revenues.
Although old
"Faced with ever-increasing journal prices and dwindling budgets, universities are being forced to take action. In 2003, Cornell cancelled its subscriptions to more than 200 Elsevier journals [ 8]. The University of Wisconsin-Madison has withdrawn from the Big Deal [ 9]. Scholars are also taking action. In 2003, researchers at the University of California-San Francisco called upon their colleagues throughout the world to boycott the journals published by the Cell Press (owned by Elsevier) after the publisher asked the University of California for $90,000 in annual fees for continued access to the six Cell Press titles--this in addition to the $8 million that the university already paid Elsevier annually for online journal subscriptions [ 10]. As another example, in January 2004, the entire editorial board of Elsevier's Journal of Algorithms resigned in protest of the publishers' pricing policies, and went on to begin publishing a competing journal, ACM Transactions on Algorithms, in partnership with the Association for Computing Machinery [ 11]."
And that is a single university $8 million in fees to access the journels.
Elsevier reported a profit margin of approximately 37% on revenues of £2.048 billion.