Just rampant guesses and speculation....
<many marketing truths>
Actually, I was more or less wondering if they did any market research as to what their subscribers wanted (or thought they wanted) as opposed to just looking at the profitability of online business models in general.
IOW, nearly anyone could forsee that an electronic business model lowers costs and increases profit margins, but that still begs the question of whether they actually did any research into what their subscribers actually said they wanted from their magazines, or did they just assume that "If we build it, they will come?" Or worse in its own way, did they do market research with badly drafted questions that essentially led respondents to answer in a way that was a self-fulfilling prophesy? (Such as "Would you like Dungeon magazine to have an online format?" without revealing that it would be online only.)
The anecdotes point to the latter 2 options, but actual quality market research could have shown a real and sizeable preference for the online publishing model that shows that people like me would be an almost infinitesimal minority- not worth catering to in the final bottom-line analysis.