Google to buy YouTube for $1.65 bn

Get the full story @ http://news.bbc.co.uk/1/hi/business/6034577.stm

I thought they had already bought it? Can't check the link as in work at the min.

Amazing for YouTube though, a site that hadn't seen one little profit and with around 70 people (if I remember correctly from the news) working there makes a fortune from the stupidity of others.

It is for a company that has not made a profit - Google bought it for its potential to do well in the up and coming years. Once Google waves its magic wand at something you just know it'll be a success.

I agree. Google are taking a bit of a gamble that online, streaming video will take off, as purchasing MP3's online has, and youtube is very well placed to take advantage of this.

Note the deals youtube has recently signed up with a few of the major music/film distributors (the likes of Sony) to allow them to show/sell copyrighted material.

You think, in 6-12 months time, when you want to buy that new madonna video or the new James Bond film and download it immediately, where will you go?? With it's huge daily hit rate and tie-ins with major music labels, the answer is most probably youtube. Tie that in with a search engine, so that when people look up where to buy it, youtube is top and that's the potential they've paid over $1bn for...

That's my take on it, anyway...

Nice work if you can get it...

uh...what???

We're not talking about buying AT&T with 10's of thousands of employees and Executive salaries in the millions here....were talking about a company that was formed less than 2 years ago with 65 employees....$1.65 billion is a hell of a lot of money!

Hell yes that's a lot of money. But hey, I give credit to those two fellas for coming up with a great idea and we can't hate them for that. I still can't believe though that Google is willing to front that much. I guess they see a lot of potential in it.

I am sure anything Google gets behind and fully markets will prosper and make a fortune. That investment is probably a small fraction of what they see in future earnings and investments. Perhaps the future is heading that way...?

You can imagine the phone call.

youtube exec: Hello. This is Mr youtube exec

Google: Hello, this is Google. We'd like to buy your company.

youtube exec: Right, ummm. OK. It'll cost you $1.65bn
*s******ing in the background and whispering "they'll never pay that"*

Google: OK. We'll take it.

youtube exec: wha??? Huh. You did hear me right, didn't you? I said it'll cost you $1.65bn

Google: Yep. We've got a bit of spare cash burning a hole in our pockets.
*moves phone away from ear to prevent being deafened by the cheers*

youtube exec: OK. Done

Google: Excellent. Done

youtube exec: You certainly have been.

Haha. And that's probably how it happened.

I would be worried about YouTube going down the same path as Google itself, frankly I no longer rate it as a search engine as there is far to much rubbish just to line their pockets.

There is definitely some truth to what you say. I've noticed as well that a lot of what Google picks up is not as "informative" as it once was. I'm surprised we haven't noticed Google show more concern over this but maybe that's their strategy? Who knows.

LOL