2 ms·
Video hosting is expensive, like really expensive. I started a site (scrim.tv) to try and disrupt YouTube for the reasons that are often expressed in posts like
by MichaelEstes 7y ago
Video hosting is expensive, like really expensive. I started a site (scrim.tv) to try and disrupt YouTube for the reasons that are often expressed in posts like these and I'm pretty convinced at this point that YouTube basically breaks even in terms of profit.
- derivagral 7y agoYoutube isn't broken out from Google in their quarterlies/annuals, so outsiders can't easily know. I think the common belief is that YouTube the video service operates at some amount of a loss, supported by other parts of Google. This is justified (by Google the business) on the basis of market share, free video test data, ads, etc. This does make it particularly difficult to compete with in isolation, of course...
- throwaway2048 7y agoEvery analysis I have ever seen that says that Youtube is losing money relies on paying commercial T1 provider rates for internet traffic, considering that Google is peered directly with pretty much every single ISP on earth, this titanicly overestimates costs.
- Ill_ban_myself 7y agoIf you solve a technology problem and ignore the legal one and it hasn't resulted in a profitable enterprise then capitalism should do its job.