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Clever, Clever YouTube

Posted by: Heather Green on October 09

The Google purchase of YouTube makes so much sense to me because only someone with a massive ad search network could make YouTube pay out quickly enough to stave off the copyright lawsuits.

What I mean is, Google has a real revenue stream that they can apply to YouTube in a hurry. And that was probably attractive enough to the content companies that they were willing to do licensing deals with the service. I know, I know, YouTube and the content companies have been in talks for a long time. But I am sure that it helped the licensing announcements this morning that the Google buyout was out there.

I frankly think that YouTube was lucky that it didn’t get sued thus far. Now what remains to be seen is whether the kind of money that the content folks can get out of Google’s “monetization of YouTube” and whether that will keep them happy….

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Reader Comments

Budi Putra

October 10, 2006 07:23 AM

YouTube is clever but Google more clever by acquiring the future of YouTube. Bravo Google!

Brett Astor

October 10, 2006 02:43 PM

Who knows whether this will prove to be a smart business move. When you have that much cash, you can afford to take risks. Indeed you must. But let's not get caught up in the awe and forget that so far this is all air pie. Something substantive has yet to occur.

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In Blogspotting Senior Writer Stephen Baker and Associate Editor Heather Green take a look at how cutting-edge technologies are changing business and society. Whether its blogs or wikis, data crunching or data targeting, technology’s advances are reshaping the world that we live in.

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