Friday, August 31, 2007

NYT Google attempts to make YouTube worth it's price tag.

http://www.nytimes.com/2007/08/22/technology/22google.html?ex=1188705600&en=961c377c222656af&ei=5070

I found this article really interesting because it brings up the important point that no matter how popular and successful a website is it doesn't matter if I doesn't make money. Google paid over billion dollars to buy YouTube and now they are struggling to make it profitable and a worthwhile purchase. Even though YouTube was visited buy over 50 million people in one month alone it doesn't generate any real revenue except for that paid buy advertisers, however because of the nature of the website google has to be careful to not annoy, put off, or beat its visitors over the head with advertisements. YouTube depends on the interest of the people not only for traffic and hits but for content. Google hopes that these "new" ads will not be intrusive and allow site viewers maximum control over what they are trying to be sold. Advertising is so incredibly powerful that it will decide if YouTube will be profitable for Google. So if you want to check out the ads and see what you think head over to http://www.youtube.com/. I think that this will work maybe not to a extent that will make what google paid back but to help cover the cost. It will also usher in a new age of advertising where like in media viewers have more power and control over what ad's they see.

~Rachel Dillard

1 comment:

Professor Sanghvi said...

you know i followed the links and tried to find the youtube videos that will have the link but i couldn't. i know its only a few videos - if you come across one, can you send it to me?