What To Make Of Google/YouTube

    October 11, 2006

In case you may have missed it (did your Internet die yesterday?), Google purchased online video sensation YouTube for a whopping 1.65 billion dollars, which was paid with Google stock. Reactions to the news were hard to miss and ranged from “Google is crazy” to “Nice move Google” and everywhere in between.

GooTubeWhat purposes, besides expanding Google’s already mammoth traffic volume, does such a purchase serve? Is Google doing this just to capitalize, advertising-wise, on all of the YouTube page/video views (Google already has the necessary infrastructure to place AdWords on video and television)? Whatever the reasons, there is one thing we can be sure of – GooTube is here and there’s not much we can do to stop it.

As for potentially seeing adverts on YouTube videos, how does something like that strike the user-base? If you take a quick glance at the YouTube announcement and the comments that followed, you see many users are skeptical about the idea of seeing commercials with their online viewing pleasures, however, if Google followed the model discussed by Rocketboom’s Andrew Baron (showing the ads at the end of the video), then perhaps the YouTube users won’t be so apprehensive towards the idea of placing ads on YouTube’s content.