Google and YouTube

Posted on October 8th, 2006 by Simon Chen

YouTube
Google

The rumour mills are rife with the speculation that Google is in play to buy YouTube.

It makes sense, despite the dire warning from the outspoken Mark Cuban.

The thing is this. Google won’t give a rats toss that YouTube doesn’t yet have a proven commercial model. After all, they themselves didnt work out how to make money for 4 years.

They also won’t be intimidated by the whole Cuban argument and that is that YouTube is simply sitting on the biggest copyright lawsuit in online history, given the terrabytes of infringed content on their servers.

YouTube has eyeballs and a strong following, which is growing rapidly. Google will put a larger value on this than anything else.

The bandwith requirements also won’t worry the search giant. It won’t even make a dent on their military grade infrastructure.

I reckon the deal will get done.

Google has the cash, the talent, the desire and the balls to make the deal work.

It also has an uncanny ability to get over the legal issues, which I personally think is nothing more than a storm in a teacup.

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