Adverts on YouTube

by Svelmoe 14. May 2008 06:10

Seems Google is thinking about placing advertisements on YouTube in an attempt to get it to make a profit. http://news.ebrandz.com/content/view/1897/568/

Well, personally I do not mind such advertisements myself, as long as they do not come in the form of "roll over", pop up or other such annoyances, and especially not if they starts containing sound and music.

What strikes me most though, is that YouTube isn't making Google much money (nooo, really, a free service isn't turning a large profit), which fits nicely into my Web 2.0 piece I wrote the other day. t looks to me very much like people (companies) just though that money would flow in, if you "Web 2.0"-ified your websites, whereas even a company as Google decides to start using ads on their Web 2.0 sites. And this is on top of the copyright problems associated with a service such as YouTube which I bet is also a large cost.

Now I'm sure Google doesn't need the money, but it all comes back to my point - Web 2.0 is not a silver bullet. Revenue is not guarenteed, and it is not a new economy (like the internet bubble buzz back in the mid 90s). It still needs to provide a product - adverts now - to be able to turn revenue.

It will be interesting to see how far Google will go with their advertisement, cause if they go a overboard (I doubt it, but well, I guess it is possible), the "customers" will simply move towards the next service which provides something comparable. A number of them already exists.  

 

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About Svelmoe

My real name is Allan Svelmøe Hansen.

I live in Denmark, where I work as a developer for hedal:kruse:brohus using SQL Server and the .NET framework since 2004. Svelmoe.dk is a place for my every day thoughts and reactions and the occasional technical blog entry.

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