May 11, 2009

YouTube to turn a profit with Googles help

Google have insisted that they will make YouTube into a profitable enterprise, although the CEO Eric Schmidt was careful enough to keep clear of saying exactly when and how this is likely to happen, although it was suggested that it would be losing hundreds of millions of dollars this year alone.

In fact, the current estimates are that YouTube will be losing something in the region of £265 million during this year alone.

Google bought YouTube in the later part of 2006 for an estimated £1 billion; this followed the huge rise in popularity of user generated content.

Schmidt is in fact under investigation by the Federal Trade Commission (FTC) over the time when he was on the board of both Apple and Google.

Source [Tech Radar]