businessweek.com— As TV viewing habits change, media companies—and advertisers—are looking elsewhere: They've set their sights on a new breed of startups.
Oct 2, 2006View in Crawl 4
MySpace's potential worth wll be in spite of YouTube (and likely at their expense). So this article actually supports Cuban.I think he points out that buying YouTube before they figure out their copyright situation is a sucker's bet. Because YouTube's value is in clip sharing traffic which is hard to advertise around. And until TimeWarner type deals generate money instead of just ducking lawsuits, they are a vulnerable target. A target that gets very fat the day someone with deeper pockets buys in. Same goes for going public. Would you buy stock in a company guaranteed to get sued when the cut the ribbon?MySpace, OTOH, is more likely to hold it's worth and gain, b/c they have the larger audience (one without whom YouTube would not exist) and have already caught up to YouTube in clip sharing. MySpace also clearly delineates the personal (fairuse) clip sharing from the commercially minded creators. YouTube is about pirated clips, about being the world's TiVO, and they are in the delictae transition from their roots and core audience, to what they will make money on.MySpace is about interacting around media, it was about music, now it's about music and video. So if you're going to bet on a company to sell ads around clip culture, and they have equal technology, who do you bet on? The one that is backed by a member of the Big Ten that has it's own content and ad relationships to pepper in? The one that has more than one content type? The most traffic? The 900M in ad money already from Google?Or the one that gets sued, and has to host commercial content for free to duck it? The one that could go under when UMG decides how much to sue them for as a Napster-esque example to the world?Cuban won't buy YouTube, he's not a moron. That isn't to say someone else won't, but they're gambling big if they do.
four20Oct 2, 2006
buried as lame
technoguyrobOct 2, 2006
I thought Mark Cuban said anyone who buys YouTube "is a moron"?<a class="user" href="http://adage.com/article?article_id=112112">http://adage.com/article?article_id=112112</a>Who's the moron now?
boypinoy18Oct 2, 2006
who wants to buy you tube?i've got $5 on it
lulutvOct 2, 2006
MySpace's potential worth wll be in spite of YouTube (and likely at their expense). So this article actually supports Cuban.I think he points out that buying YouTube before they figure out their copyright situation is a sucker's bet. Because YouTube's value is in clip sharing traffic which is hard to advertise around. And until TimeWarner type deals generate money instead of just ducking lawsuits, they are a vulnerable target. A target that gets very fat the day someone with deeper pockets buys in. Same goes for going public. Would you buy stock in a company guaranteed to get sued when the cut the ribbon?MySpace, OTOH, is more likely to hold it's worth and gain, b/c they have the larger audience (one without whom YouTube would not exist) and have already caught up to YouTube in clip sharing. MySpace also clearly delineates the personal (fairuse) clip sharing from the commercially minded creators. YouTube is about pirated clips, about being the world's TiVO, and they are in the delictae transition from their roots and core audience, to what they will make money on.MySpace is about interacting around media, it was about music, now it's about music and video. So if you're going to bet on a company to sell ads around clip culture, and they have equal technology, who do you bet on? The one that is backed by a member of the Big Ten that has it's own content and ad relationships to pepper in? The one that has more than one content type? The most traffic? The 900M in ad money already from Google?Or the one that gets sued, and has to host commercial content for free to duck it? The one that could go under when UMG decides how much to sue them for as a Napster-esque example to the world?Cuban won't buy YouTube, he's not a moron. That isn't to say someone else won't, but they're gambling big if they do.