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Summary:

The media industry is in the middle of a massive change, thanks to the ubiquitous presence of broadband everywhere. Fast pipes are enabling niche networks, venture capitalists are investing in new media properties. The online video market resembles an old fashioned bubble, and companies are sprouting […]

The media industry is in the middle of a massive change, thanks to the ubiquitous presence of broadband everywhere. Fast pipes are enabling niche networks, venture capitalists are investing in new media properties. The online video market resembles an old fashioned bubble, and companies are sprouting up like mushrooms after a fresh monsoon. All of this is predicated on one business model: advertising. Google bet $1.65 billion in chips on YouTube, betting that it can profit from this shift to online video. Their confidence is understandable: Google now accounts for 25% of all online advertising dollars. We have a special report on the future of advertising in this online world.

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  1. No offense to you Om, but everyone has labeled Google’s purchase of YouTube as a bet or gamble. This is petty cash, better yet, vapor stock $$$. One percent of their market cap on a venture with at least 50% chance of an ROI for the Goog machine is just a bigger iron in the fire.

  2. Sorry, just a bad day for me.

  3. Hey I always have one of those – bad days. sorry to hear about that.

    specifically to your point, — gamble or just a masterstroke – either way we shall see. of course, i have been wrong so many times before, so might have to eat my words.

  4. Online Advertising Revisited…

    There is a good series of 3 pieces on GigaOm todat about Online Advertising.

    Om Malik notes that:

    The media industry is in the middle of a massive change, thanks to the ubiquitous presence of broadband everywhere. Fast pipes are enabling niche ne…

  5. If you guys are thinking about the google adsense of mobile…check out http://www.admob.com. Our network has over 300M mobile page views per month, over 2X as many as other mobile advertising networks.

    We even offer a free mobile advertising campaign. All the details are on the site.

    Great posts above!

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