“Google announced this afternoon that it would buy YouTube, the popular video-sharing Web site, for stock that it valued at $1.65 billion,” Andrew Ross Sorkin and Jeremy W. Peters report for The New York Times.
“Google beat out a number of other YouTube suitors, including Microsoft, Viacom, Yahoo and the News Corporation. By successfully negotiating the deal, Google has once again proved that it is the Internet’s dominant player,” Sorkin and Peters report. “Under the terms of the deal, YouTube will retain much of its identity and will keep its name and its office in San Bruno, Calif., more than 25 miles from Google’s headquarters in Mountain View.”
Sorkin and Peters report, “The acquisition of the privately held YouTube will enable Google to thrive in one area of the Internet where it has so far failed to gain footing. According to Hitwise, which monitors Web traffic, has the lion’s share of online video traffic. YouTube has a 46 percent share, MySpace has 23 percent and Google Video has 10 percent.”
Full article here.
[Thanks to MacDailyNews Reader “obvious” for the heads up.]
Related articles:
WSJ: Google in talks to buy YouTube for $1.6 billion – October 06, 2006
Way to go Google
I called that!
So, if the rumored iTV link with Google videos is true … this could be good for Apple too.
I’m sure there are chairs flying in Redmond as we speak…
Now maybe with the two combined into one, they can figure out a way to produce a video quality that is watchable.
MS isn’t worry about this, really. So many people think “Microsoft Office” when they need to type something, it’s stupid.
But then, Apple should be worried. This takes mindshare aware from iTS-sourced video.
Hey who is using my name on here?
I used to use my real name “Mike K,” but it turns out there is someone else using Mike K… Now I use “RC” for my drink of choice… Royal Crown… Now someone is using “RC” too? STOP IT! I’m RC on these discussions.
Is it just me or is the MDN crew spewing out old news these days? It seems like I read news first everywhere else but MDN. This is usually the last source that has Mac related stories. With RSS feeds and digg.com, MDN site is like stale bread.
Good luck with that, RC. I had many aliases on these boards at one time (Tom Cruise, Steve’s Brother, etc.), but people kept copying my posts. And no plaguerists. It is not flattering.
And MDN could care less. What they need is a user management system. My advice? Just go set up a digg.com account if you don’t already have one, and kiss MDN goodbye.
I am sure this will get deleted from this page within the hour…
Isn’t it funny that I said someone should buy YouTube (even Apple) and every post that followed said it would be crazy to do that. Looks like Google knows something most of you don’t
Better Google than Microsoft
“Privately held!!”
After paying off the VCs that’s a nice chunk of change.
Excellent news for the TV stations and movie companies… finally a big name behind youtube that can be sued for all the copyright violations… let the slaughter begin !
WTF… I’m RC!!
RC why not try Mike RC?
Or RC Mike?
Just kidding, raster.
no… I’m RC!!
Curiosity got me to YouTube, the constant output of monotonous, uninspiring, unpolished, and puerile video clips turned me off. If anyone out there can explain what Google will gain from spending 1.65 billion dollars for YouTube please clue me in.
pr:
“Isn’t it funny that I said someone should buy YouTube (even Apple) and every post that followed said it would be crazy to do that. Looks like Google knows something most of you don’t”
Yeah how to lose money on junk.. YouTube is a popular site but it’s a money pit. It’s generated page hits but not been able to monazite it, with no prospects for doing so.
If Google can make money out of this then good luck to them.
Hey!… I thought I was RC??
What technology do they use? Windows media, quicktime or something else they’ve cooked up. Interesting thing is that it did not require installing any additional plugins.
Both Google Video & You Tube are Flash based.
JEG already stole my words. There were numerous companies interested in YouTube, Microsft likely included.
dot com boom part 2
with crappy video quality, and no known way to recoup costs besides advertising, which will take awhile to pay off a billion dollars, i cant see youtube being worth $50 million dollars. Do these companies that bid really have a plan, or is it more ‘ 1) build a website 2) ????? 3) get rich!!!! ‘ like the south park underwear gnomes ?
Thank God Microsoft didn’t get it
*click throughs several Google ads*
Does anyone seriously think Google is completely daft
Google will make a TON of money from advertisers with You Tube
Another RC heard from.
YouTube isn’t worth that much, except potentially in name. Combine it with Google’s ad-selling approach, though, and this might be a winner.
Could the purchase cut into iTunes and Apple’s movie downloads? With these deals in the making, it wouldn’t take much to go the rest of the way. This article in the N.Z. Herald says: “YouTube’s deal with Universal was similar to an earlier deal with the Warner Music Group , in which the label will offer thousands of its videos to YouTube users as well as make songs available to be used in the site’s homemade videos.”
<snip>
“Within 30 minutes, other deals came pouring in: Google announced separate music video deals with Warner Music and Sony BMG. YouTube announced another music video deal, this time with Sony BMG, and a separate short-form video deal with US television network CBS Corp.”
Oh, and they are paying for the lead space that they can build on, not have to recreate/compete with from the ground up. Obviously, with Google video, from-the-ground-up video hasn’t been their strong suit.
another arse hear from
This is a brilliant Google move, they are the only company uniquely positioned to use the eyeballs that YouTube provides.
I’m not RC
Microsoft pulls Firewire support out of Vista!!!
http://neosmart.net/blog/archives/266
Firewire is on its way out of the mainstream. Many video cameras are USB2. iPod is USB2. Except for FW800, USB’s cheaper, isn’t it?
Oh, and Peterson smells like elderberries.
HEY!!! I’m CR!!!
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$1.65 Billion for a company that has yet to show any profit. So, Google should see a return on its investment in about, say… infinity years?
Okay, that was joke. I know Google will figure out a way to pull some revenue from YouTube. But just the same, are we back in the a crazy internet bubble again? God I hope not. I don’t think I can survive another bursting bubble recession.
Balmer’s panties are in a twist over this one for sure!
I’m dyslexic and you are all taking my identity!
Google has launched it’s own Mac blog!
http://www.techsmessage.com/2006/10/09/new-google-mac-blog/
I wonder how long it will be now before content providers (read: Hollywood and the major networks) will sue Google / youTube for copyright infringement…
Heh…
My initials are ‘RC.”
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I think collaboration is in the works.
How bout a YouTube tab along the left nav of iTunes. iTunes becomes the defacto hub of all media. Watch YouTube streaming for free with ads in a slick interface that Apple designs into iTunes…create your own YouTube video folders…download direct to your iPod for a buck. Beomes another way to monitize all that video.
just a thought.
Re: Google Mac Blog
From the Google Mac Blog:
“Blogs We Read
MacNN
Macworld
MacUpdate
Mac Minute
The Unofficial Apple Weblog
Infinite Loop
MacSlash
Daring Fireball
Macintouch
Mac OS X Hints
TidBITS
Version Tracker
MacCentral
MacDevCenter”
Where’s MDN?
Time for YouTube to be sued now that they have lots of money.
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has anyone noticed that YouTube was being targeted for lawsuits becuase of users posting pirated content or illegally posting stuff which they dont own the license to?
now that Google owns it, people wont be able to post anything they want; If they do, you can be sure Google will be hit with a TON of lawsuits, cuase it’s a much bigger bullseye than youtube…