Blog Post

Forbes: Google Bought YouTube, Now Trying to Make Money on It!

Forbes posted a magazine story to its site today about YouTube that includes some new revenue estimates and advertising prices. The train-of-thought piece doesn’t exactly convince me Forbes knows anything about YouTube — the main dirt/insight it seems to have is that original staffers were shuffled after Google acquired the company…well, duh.

But anyways, not to be catty — there are some actual numbers in here. Forbes says YouTube will make $200 million this year and $350 million in 2009. For reference, that’s about twice the number we’ve printed here — some $70 million to $90 million — and had corroborated by other sources.

Forbes says YouTube homepage ads cost $175,000 a day, plus a commitment to spend $50,000 more in ads on Google or YouTube. That’s a bit different from what TVWeek reported in January (a $100,000-per-day flat fee plus a $100,000 incremental spend on Google and YouTube within 90 days.) Branded channels cost $200,000, according to Forbes (TVWeek had said $250,000 across Google and YouTube, $100,000 of which must be on YouTube).

9 Responses to “Forbes: Google Bought YouTube, Now Trying to Make Money on It!”

  1. Les Cowbell

    In the time honored tradition of tweaking someone else’s copy, you write, “YouTube will make $200 million this year” while Forbes writes, “YouTube will generate $200 million this year.”

    To my ear, “MAKE” implies profit and “GENERATE” implies revenue; make being a reduction of the common phrase “make a profit.” These two terms represent vastly different numbers in the business world. If running with the likes of Forbes, it would behoove you to brush up on financial terms & jargon.


  2. When is Google launching video adsense overlay for all Youtube publishers, not limited only to US and UK publishers that are approved and have over 1 million views per month. Just as normal adsense is open to any website publisher, so should it be for Youtube publishers.

    I’ve heard Google would pay up to $15 per 1000 views for displaying those overlay advertisments. If that is true, that will completely revolutionnize TV. When Google activates that feature, it will be the end of the traditionnal established TV stations, cause the quality of independent Youtube content will dramatically increase very rapidly. That will create a market for thousands of independent video-bloggers, independent film makers and independent video reporters.

  3. Come on Liz, we love it when you are catty.

    This is great news! Online videos cost money and advertising on them costs more than previously estimated.

    I like the sound of that. Now if you can tell me the price of electric cars are coming down.