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Why is YouTube so valuable?


Steve

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Look at the traffic - millions each day. Placing an ad on there means serious global exposure. Google is all about ads. Youtube is an advertisers goldmine, hence the astronomical price.

 

http://www.alexa.com/data/details/traffic_...www.youtube.com

 

Rated 10th most popular site on the entire web - got to be worth something.

Yeah, but what about the costs? They use up a fucking shit load of bandwidth (1 million dollars worth per month) and server space. Since the business started, they've accrued debts of 20 million dollars. Then you've got the lawsuits that are pending about them hosting copyritten material. 1.6 billion dollars is gonna take some time to recoup from advertising!

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Advertising makes the world go round. It's the main revenue source for the entire media world.

 

If I were the owners of Youtube, I'd be snapping Google's hand off. 1.6 billion is enough to keep my family going for generations to come, even taking the hit for hosting hooky movies. A few hundred million in lawsuits won't make a dent in 1.6 billion really.

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youtube has even been used for reference in news/talk shows, especially that italian training camp spoof when the world cup was on.

 

youtube had a lot to do with that shit about snakes on a plane.

 

and the JUGGERNAUT BITCH! being so used in x3.

 

they even have that pornotube thing now as well.

 

fuckin youtube. brilliant idea.

 

whats next, adtube? googtube?

 

I bet whoever owns it is rubbing their hands together with glee. Fuckers. Haha.
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Look at the traffic - millions each day. Placing an ad on there means serious global exposure. Google is all about ads. Youtube is an advertisers goldmine, hence the astronomical price.

 

http://www.alexa.com/data/details/traffic_...www.youtube.com

 

Rated 10th most popular site on the entire web - got to be worth something.

 

Right now youtube is getting 60billion hits per month (unless that per DAY, in which case its abso-fucking-lutely mind blowing)

 

Anyway... I did some math for you

 

60,000,000,000 hits a month (yep count the 0s)

$1,000,000 in fees to sustain it

$1,000,000 = 100,000,000 pennies (smallest coin value, 1% of a dollar)

 

Therefore if they sold every 600 hits for just 1 penny, they would recoupe their expenses, but 1 penny for 600 hits is WAYYY cheap. Google has an advertisement program where they "auction" hits, and people pay like $.05 - $1 per hit! Can you imagine how insanely profitable youtube is if they just sell each hit for 1 cent?!

 

Combine the beast that is youtube with the genius/beast that is google and we're talking about an ABSURD powerhouse. You also need to remember that Google is a publicly traded company and an acquisition like youtube would make their stock price go TROUGH THE ROOF. I think at 1.8 billion they may be getting too good of a deal.

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Right now youtube is getting 60billion hits per month (unless that per DAY, in which case its abso-fucking-lutely mind blowing)
It's neither. That graph shows the reach. YouTube gets around 20-30 million visitors per month, which is still a lot, but that leaves you out by a factor of 3,000 or so.

 

YouTube states that its business model is advertising-based. Some industry commentators have speculated that YouTube's running costs — specifically the bandwidth required — may be as high as US$1 million per-month, thereby fuelling criticisms that the company does not have a viably implemented business model. Advertisements were launched on the site beginning in March 2006. In April, YouTube started using Google AdSense.
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word, i was just going off the numbers i was seeing, regardless, I still think it'd do wonders for Google's market value & google has some amazing business minds behind it, so I'm confident they could make it profitable, because the infrastructure is already there.

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youtube have made themselves the most prominent video supplier just as itunes is the most prominent audio supplier, if they believe legal downloads of videos are the future profit, or it being a hub for general video usage, as per the attempted agreement with the music associations to try and make all music videos available to youtube viewers, thus making shitloads of advertising off that, either way they are a company with a huge lead in their area and are worth a lot... as video is the next area to go mental what with more capabilities to (kind of) replace TV and DVD...

 

google own the world...

start replacing every prefix with google now just to get used to it...

 

 

kiss my face,

i used the word thus.....

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This is all a rumour started by a bunch of bloggers, based on little actual fact and misguidedly repeated by the Wall St Journal. Once the WSJ had printed it, everybody else jumped on it as if it were fact -citing the WSJ as their source. This isn't the first time, either -remember last month when the WSJ reported that Yahoo was going to purchase Facebook for $1billion?

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Eye, proppa...... Complete rebuild under the chassis eh, with an Audi RS4 engine or something, BM brakes so's it'd actually stop unlike an actual Capri :p

 

Edit - With airbags.......... Fuck having a smash in a mark one Capri fuckin hell.

 

if you're gonna have a crash, its worth having one in something as dope as a capri, regardless of potential injury!

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