[Eric Ewe]

Guess it deserve its own thread

From ABC News
GOOGLE SAYS IT WILL BUY THE VIDEO-SHARING WEB SITE YOUTUBE FOR $1.65 BILLION IN STOCK; YOUTUBE HAS NEVER MADE A CENT

CNN article


Speculation of G buy YouTube thread.
http://forum.abestweb.com/showthread.php?t=79850

[shimmy]

I can't believe Google Stock is going up, I would be selling it right now. I can't stand companies like YouTube that are full of copyright infringement content that say it's not their fault, they didn't upload it.

[Ashok]

obviously, google has figured out a way by which they can turn youtube into a cash cow?

[SSanf]

YouTube users could share in ad revenues
Best buy a camera!

I gunna be a GooTube star!

[Trust]

Founders of YouTube, can't keep the smile off their faces Must feel good

http://www.youtube.com/watch?v=QCVxQ_3Ejkg

[Vinny O'Hare]

if google just put two adsense ads next to each site for video cameras it would make that money back in no time. I would be buying google stock right now

[chetf]

Google promised myspace $900 million for a 3 years 9 month contract with adsense.

How does this not make sense?

Chet

[dsteitz]

Yeah but all this blatant copyright violation stuff will have to come to a head at some point.

[Leader]

Originally Posted by chetf

Google promised myspace $900 million for a 3 years 9 month contract with adsense.

How does this not make sense?

Chet

Edited--
If you meant YouTube rather than myspace, since G bought YT, it doesn't make any obvious sense for Google to basically "pay" part of itself $900 million for showing its own ads--it's just some kind of accounting BS. But I see companies claiming to pay their other divisions quite often, so there must be some (probably IRS-related) reason they bother with such shell games...

If you really did mean MySpace:
It doesn't make sense because in 3 years and 9 months, something else may have come along and bumped myspace from its seat--so they may end up with no (or substantially lower than predicted) clicks long before that time is up.
Kind of like how some ball clubs will hire a multimillion-dollar pitcher for a several-year contract, only to see him wreck his arm in the first season and end up paying him to warm the bench from then on (if they don't find a way to terminate the contract early).

It's a gamble. It may pay off--but it very well may not.

It'd be very poetic justice for Google to not be able to get traffic to a site that they've covered in ads

[chetf]

Leader, google promised myspace 900 million over roughly 4 years. So figure that they split the revenue with them the same or better rates than the regular split. That means if they owned myspace, they could pocket the 1.8 billion they are guessing on. Since they are willing to do that, why not just buy the property, keep it all to yourself and maybe even expand it as you promote it and learn how to do the social thing?

youtube just seems like a no-brainer after the myspace deal.

Chet

[Leader]

Considering that, it'd be logical IF it all works out as planned.

But that's a big IF. Kind of like betting ~$1 billion on the weather.
Sure you can guess it'll snow in MI in January, but betting how much snow on just what day is a whole different proposition.

They could both be no-brainers all right, as in, Google might have used no brains

[Trust]

Originally Posted by dsteitz

Yeah but all this blatant copyright violation stuff will have to come to a head at some point.

On Monday:

YouTube Signs Three Content Deals

http://www.betanews.com/article/YouT...als/1160413732

They'll just do that, sign licensing deals. It would make sense for companies to do that, work with Google, not against. Everybody makes money. I'm sure they thought about all of thought before going thru with the deal, they have a gang of lawyers.