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YouTube Revenue
“How Much Does YouTube Make?” – Vast video site unprofitable.
YouTube’s revenue has been estimated to be between USD 75-500 million, however costs such as bandwidth and licensing are estimated to be another 50% more than the highest estimated revenue.
http://www.emarketer.com/Article.aspx?R=1007051
“In our view the issue for YouTube going forward is to increase the percentage of its videos that can be monetised (likely through more deals with content companies) and to drive more advertiser demand through standardization of ad formats and improved ad effectiveness.” say analysts.
The popular video-sharing website was founded on the 11th September 2005 by former Paypal employees Chad Hurley, Steve Chen and Jawed Karim. With the backing of Venture Capital firm Sequoia Capital was purchased by Google for USD 1.65 billion on 9th October 2006.
According to Nielsen Online, YouTube is the 5th most popular web brand in the U.S, the question, and for so many other social media websites, is one of profitability.
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