[外電] Mark Cuban: YouTube Finally Took My Advice
Source: http://0rz.tw/PubWK
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Mark Cuban: YouTube Finally Took My Advice
Nicholas Carlson|Jul. 20, 2009, 3:50 PM
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Is Mark Cuban coming around on YouTube?
The Dallas Mavericks owner (and guy who sold Broadcast.com to Yahoo) has been
a vocal critic of YouTube's business forever -- way before Google spent $1.65
billion to buy the video-sharing site in 2006. In September 2006, he told
Reuters: "Only a moron would buy YouTube."
Mark's main point has been that the vast majority of YouTube's content is
impossible to monetize -- either because it pirated or just plain crappy.
Over time, Google (GOOG) and YouTube execs came to share this view and began
licensing content from premium sources like Disney and MGM. (Hulu's success
has been a remarkably effective wake-up call.)
Watching this trend develop, Mark told us in mid-2008 that we'd know
YouTube's licensing business was getting somewhere when we started hearing
two things:
Management saying they know how to monetize.
Content providers bragging about how much money they are making, which in
turn would act as digital gravity to every content producer in the world.
And, lo and behold, during its earnings call last week, Google execs for the
first time began claiming they knew how to make money off YouTube. Google's
sales boss Nikesh Arora told analysts that YouTube had tripled its
"monetizable views" in the last year and that the site will be profitable
soon.
On the second point, YouTube put out a release today, trumpeting the success
of its "premium content partners."
We have thousands of premium content partners, from Sony to Disney to
Universal Music, and fans can find hundreds of full-length feature films and
thousands of full-length TV episodes on YouTube. The world premiere of Joy
Luck Club director Wayne Wang's film, "The Princess of Nebraska," was viewed
165,000+ times during the first 48 hours -- the equivalent of landing the
15th spot on Hollywood box office charts.
So, his prophesies nearly fulfilled, has Mark Cuban finally come around on
YouTube's business viability? The short answer: No, but they've been smart
listening to my advice.
Here's what Cuban told us in an email:
Haven't changed my view at all. They still face the Viacom lawsuit.
But I give them credit for completely revamping their business model and
doing what I suggested way back when. Which was to stop hiding being the DMCA
and start licensing content. Which is exactly how they are increasing their
monetized views.
There are now 2 Youtubes. The UGC hosting site, which I am sure is losing its
ass. And the new version of Youtube, which is like every other video site on
the net. It licenses content and sells ads around it. This isnt a bad
business model when you have the traffic generation ability of Google, along
with the best bandwidth prices in the business.
If they get out of the UGC business, they actually would be profitable.
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