CaribbeanFever / FeverEyes / CaribFever

Caribbean Fever - Your ONLY destination to all things Caribbean and more

YouTube is losing money even though it has more than 1 billion viewers

YouTube spends $3.8billion on its infrastructure each year, but it's not making much profit. It is 'roughly breaking even' nine years after it was purchased by Google

  • Google bought the online TV website for $1.7billion nine years ago
  • YouTube's infrastructure costs the company $3.8billion per year 
  • Analysts said users are not buying products from advertisements
  • Streaming services including Amazon and HBO are threats to YouTube
  • Google is having trouble attracting daily users to the website 

YouTube is not making any money despite having more than a billion viewers.

The online TV website is ‘roughly breaking even’ nine years after Google bought it for $1.7billion (£1.1billion).

Analysts said that there was ‘a lot of junk’ on YouTube and that the large number of young users did not buy anything from the adverts.

Another issue is that YouTube takes up a vast infrastructure which wipes out the $3.8billion (£2.5billion) revenue that it brings in each year.

YouTube spends $3.8billion on its infrastructure each year, but it's not making much profit. It is 'roughly breaking even' nine years after it was purchased by Google

YouTube spends $3.8billion on its infrastructure each year, but it's not making much profit. It is 'roughly breaking even' nine years after it was purchased by Google

Google sites had more than 150million unique viewers in January 2015. That's more than double AOL and Yahoo sites

Google sites had more than 150million unique viewers in January 2015. That's more than double AOL and Yahoo sites

The Wall Street Journal report highlights how hard it is to make money from the Internet even if you are one of the biggest websites in the world.

But some have cracked it and Netflix, the online TV and film service, reported a profit of $81million (£53million) in just the last quarter of 2014.

Statistics show that by many standards YouTube is a huge success - the video for pop hit Gangam Style has been seen more than two billion times.

However YouTube now under threat from other online streaming services such as Amazon, and the rise of quality TV shows from producers like HBO.

The official YouTube video for Gangnam Style by Psy has been viewed more than two billion times. It is the most-watched YouTube video to date

The official YouTube video for Gangnam Style by Psy has been viewed more than two billion times. It is the most-watched YouTube video to date

Google is also having trouble attracting users directly to YouTube and most people access it through a link or an embedded video on another site.

Instead Google wants people to turn on YouTube the way the turn on their TV.

The tech giant is now experimenting with targeted adverts which mean you see commercials for products that you have already searched for.

In the US YouTube has also bought the rights to American Football games and is also screening new episodes of Thomas the Tank Engine.

Pivotal Research analyst Brian Weiser said that the sheer amount of ‘junk’ on YouTube was a problem.

He said: ‘If they want meaningful TV budgets, they need to invest in TV content.’

Views: 739

Comment

You need to be a member of CaribbeanFever / FeverEyes / CaribFever to add comments!

Join CaribbeanFever / FeverEyes / CaribFever

Comment by Greg Bjorg on October 11, 2019 at 4:51pm

Youtube has been through so many scandals with removing videos lately. The platform is deteriorating in my opinion. You can even get copyright claimed to jungle sounds (no jokes, there was a story about it). I use https://soundhills.com/royalty-free-music-library royalty-free music library for my videos but I still cannot be sure that my works won't be deleted because of strange youtube policies.

Comment by Olman Grand on October 11, 2019 at 2:24pm

This was very unexpected actually

Comment by Vinny Pat on February 28, 2015 at 3:05pm
We got rid of cable b/c there is enough on YouTube. I'm curious to know why the Infrastructure is so costly. I would have that the geniuses at Google would have figured out a way to bring down cost.
Comment by Incognito on February 27, 2015 at 5:45pm

Youtube will be fine once Web-TV becomes more mainstream...

Nas: 'Prince Wouldn't Record With Me Because I Didn't Own My Masters'

Nas Speaks Out On Promoter's Kidnapping In Angola "He Was In Some Crazy Danger In Africa, So He Threw Me Under The Bus" [Video]

Nas: 'Prince Wouldn't Record With Me Because I Didn't Own My Masters'

Mom: Future Allegedly Forced Blac Chyna To Get ABORTION

Black Chyna's New Reality Show Looks Terrible {VIDEO}
Mom: Future Allegedly Forced Blac Chyna To Get ABORTION!!

Jeff Epstein Tried To HANG HIMSELF In Jail

Jeffrey Epstein is denied bail and ordered back to prison ahead of sex trafficking trial as judge cites the testimony of pedophile's victims in decision, calling him a 'danger to community' Jeff Epstein Tried To HANG HIMSELF In Jail

R&B singer Ciara Shows Off Her Amazing LEG MUSCLES

Ciara & Russell Wilson Launch Reality Show!!! (Exclusive Details) R&B singer Ciara Shows Off Her Amazing LEG MUSCLES!!

+++++++++++++++++++++

Celebrate your BIRTHDAY with CaribbeanFever on 107.5 WBLS, NY

|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||

||||||||||||||||||||||||||||||||||||||||||||||||||||||||||

||||||||||||||||||||||||||||||||||||||||||||||||||||||||||

FOR ALL YOUR DANCEHALL AND REGGAE NEWS CLICK PIC BELOWreggae dancehall queen 4

}}}}}}}}}}}}}}}}}}}}}}}}}}}}}}}}}

{{{{{{{{{{{{{{{{{{{{{{{{{{{{{{{{{{{{{{{

PUMP IT! or DUMP IT! SAT & SUN NIGHT on Caribbean Fever 107.5 WBLS NY (GET YOUR NEW MUSIC PLAYED) SONG{S} BEING VOTED ON ARE {------ ) and {----- }

CARIBBEAN NEWS

Caribbean Fever with the best Caribbean News online!

 

SOME TOP BLOGS

Groups

© 2020   Created by Caribbean Fever.   Powered by

Badges  |  Report an Issue  |  Terms of Service