YouTube Takes Bigger Slice of Overall Television Pie

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Google is certainly getting a lot out of the $1.76 billion they spent buying YouTube almost exactly 10 years ago today. As of early 2013 YouTube was experiencing one billion unique viiewes/visitors every month, nearly one out of every two people on the Internet, use it for myriad purposes. Anyone at all can upload or watch videos of cats or dancing babies, and Google benefits because it can charge advertisers to put ads adjacent to those videos.

But either Google had great vision a decade ago or they have more recently realized that they have a great medium, arguably better than conventional television. However, a recent study by Nielsen and Google shows that YouTube and conventional (“linear”) TV may be more complementary than competitive. People are watching TV on YouTube and they are watching YouTube on their TVs, so the gap between the two media is shrinking. In fact, it is shrinking so much that Google has just signed up CBS for its imminent web TV service. And, notwithstanding some folks’ criticisms of CBS, its leader seems to be pretty savvy.

One thought on “YouTube Takes Bigger Slice of Overall Television Pie

  1. Good for CBS! they will have so much money out of this deal. It’s amazing that youtube is now worth about $40 billion – and all it content is from the people – how much will be worth in 5 years .. anyone guess? Thanks for the post!

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