YouTube Vs MySpace

18 Comments

YouTube hype machine is cranking at a zillion RPMs a minute. A profitless IPO, a billion dollar sale to one of these half a dozen companies, lawsuits, illegal content and how it helped them become what they are. The latest is this concept floated by The Guardian that it is bigger than MySpace.

The video sharing site has taken a 3.9% share of global internet visits a day compared with 3.35% for MySpace, according to internet analysis company Alexa.

However, the data from Hitwise is the quite different from Alexa data used by The Guardian. For the week ending July 29, 2006 MySpace.com received 4.73% market share of visits versus the .23% market share of visits for YouTube.com.

For the week ending July 29, 2006, MySpace was ranked #1 based on market share of visits (please note Hitwise breaks out domains of larger properties) while YouTube was ranked #29. (According to Hitwise data based on market share of visits, MySpace was ranked 6th for the week ending July 30, 2005 while YouTube was ranked 80,628.)

18 Comments

NubYouTuber

WELL for one, MySpace was sold for more than $1B. Therefore I see that YouTube will be bigger than MySpace if google video doesn’t take off…

jason

Sometimes people use alexa graphs to show popularity, but we know that alexa gets its rankings from a browser plug-in. A similar question exists, where does hitwise get its numbers from?

Jesse Kopelman

These con high-valuation for You Tube arguments are pretty much the same ones that were used against Skype. Remember how that worked out?

marc

re: ad value…myspace does not monetize its traffic well b/c ppl arent’ visiting myspace to view ads. it’s like AIM, whose ad value is low as well.

re: video ads, it will be hard for youtube to serve 30sec ads into 30sec clips – how many consumer will stand for that?

marc

i think there’s a difference between site visits and traffic (defined as bandwidth used). i assume youtube is nowehre close to myspace in terms of pageviews, may be on par wrt uniques, and is probably further ahead with regard to bandwidth used…

dave

sorry, let me clarify: “reach” surpasses in july, but “rank” and “page views” do not – which raises the new thorny issue: myspace is about viewing tons of pages – blogs, pics, etc – while youtube is often one or two static hit videos (one page or two pages) – so imho, “reach” is a better measure for success, not page views…

any internet marketeers wanna chime in on the value issue here – as in, relative value of ad placement on youtube vs myspace where reach is an inverse relationship to page views and rank?

Chris Brainard

I think we are going to see youtube get bought out shortly by some media gaint. That is what all the hype says to me. Youtube is pretty much a money pit and there is a ton of other competition like Google video and http://www.gotuit.com/ to name a few. There is really no sense in comparing myspace to youtube as they are totally different, unless you are trying to market them.

CG

Eyeballs is meaningless, let’s talk bottom line. YouTube isn’t worth a billion cause no one sees a way to make it worth that. When you start with no business model, it’s hard to just make one up halfway down the road (see MySpace, YouTube, etc etc). Why would NBC pay a ton of money for a company that will probably be out of cash (and desperate for a sale) in like 10 months?

Stewart Butterfield

I thought Hitwise was US only? (And heavily biased towards dialup users who be less likely to watch a lot of video online.) YouTube could be bigger worldwide … be interesting when the next Comscore and NNR numbers come out.

Jordan Mitchell

“Re-eyeball-ification” is right, and it is disconcerting. But I think things are different this time. Feel free to disagree but I don’t think venture capital is pouring into completely unproven business models. And the ad model, which formed the basis/hope for so many business models in the past only to fall flat on its face, is much stronger now, thanks to the maturation of keyword-based and other highly targeted advertising.

The hype is just that; thank goodness we don’t have the IPO market conditions to turn the hype into irrational exuberance. And you know, it’s ironic in that it’s the people like us on the Web talking about all this stuff that’s proliferating the hype. :-)

Mick

Well David, we’re interested because it effects a number of other businesses, like Google and other ad serving/aggregating companies. Also, when business like these get big, there are complementary businesses that grow up beside them.

I’m interested anyway.

I’d like to see another chart showing income?

David Pursell

Just wondering, why do you, or your readers, really care about whether Youtube or Myspace is bigger? It matters to Youtube and Myspace, but does it matter to you? What do you gain from it either way? Unless you own shares in either company, nothing.

Or like one of the comments says “There is no way the company is worth $1B” Why does he care? Does it affect him at all if Youtube is worth $1B? Or if it crashes and burns? Nope.

I guess I’m just curious why people seem to want to broadcast their opinion on this, when it really doesn’t affect them at all.

Hooman Radfar

Hype indeed. There is no way the company is worth $1B. Who would buy them? Any major media company that buys them is not just buying the audience, but also all of the liabilities associated with pirated content as well. The fact of the matter is that there is an explosion of YouTube Clones and the company is not exactly making bank. Why wouldn’t GYM and incumbent big media companies just wait until the company starves and then send in an M&A team to go for the kill. Thoughts?

Ahsan

Is anyone else even a little scared of the re-eyeball-ification of the web? These services are great and all but where’s the “paisa” in them? It’s just strange to be reliving ’99-’00 all over again. If only the IPO market were open…(which is why there’s no way in hell YouTube gets public in the next 6-12 months).

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