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October 10, 2006 Google-YouTube: The Value Of Social ComputingBut This $1.65 Billion Purchase Could Run Afoul Of Copyright Problemsby Josh Bernoff, Brian Haven with Charlene Li |
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Executive Summary
On October 9, 2006, Google agreed to buy user-generated video site YouTube for $1.65 billion in stock. This is a massive demonstration of the power of social computing: Google already has the No. 3 video site, but now it will own a networking platform that makes video stickier — and better for advertisers. To make this huge purchase worth it, Google must move rapidly to: 1) address the problem of users uploading copyrighted content; 2) encourage marketers to think beyond traditional video advertisements; and 3) maintain YouTube's excellent video selection and viewing experience.
This is an excerpt
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