Eric Schmidt: YouTube would be profitable
May 10th, 2009 Leave a comment Visited 97 times, 4 so far today
Eric Schmidt: YouTube would be profitable
Google CEO Eric Schmidt has stated that they believe YouTube would become profitable soon for the company.
YouTube currently makes millions of dollars of losses for the company as revenues from advertising is little and the expenses related to bandwidth are much more.
Schmidt said: “What we said is we believe YouTube will eventually be a successful and a profitable business and it will take some time to do it.”
Google had acquired the popular video sharing service in 2006 for an astounding USD 1.6 billion.
They have been adding new features while integrating it with the core Google services. But they have largely failed to generate much revenue from it.
Advertising, Eric Schmidt, Google, revenues, Video, Video Sharing, Web Services, YouTube
Somanshu
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June 15th, 2009 at 9:55 am
I don’t think Google will ever make much money from YouTube. It takes too much bandwidth to stream videos, too much server space to store them, and the electricity for those servers.
Probably will always be a money loser, although it may lose less money in the future.