Comment Re:No (Score 1) 475
Totally agree with everything you said. I suspect the REAL problem at the moment internally at Google on YouTube is one of the following:
1. Bandwidth costs are going to a point where it's unsustainable even for a giant like Google (just compare text versus video). If Google is still buying IP Transit then it'll get real expensive even with cheap bandwidth costs now-a-days. Though this is greatly lessened with me suspecting Google getting alot of settle-free peering with eyeball end-user ISP networks/ASes.
2. In relation to #1, Google still has to maintain and upgrade an ever-growing internal distributed network linking it's datacenter's as video takes lots of HD space to cache over their CDN.
3. The real problem is the business model I suspect Eric Schmidt is trying to work out. Personally for me as a consumer Advertising CAN WORK for professionally generated content. This is one of the reasons I personally love Hulu. It's a great value proposition, allowing me to watch all my favorites with advertising funding it. For user-generated content it's a completely different case. I suspect what Google is really working on (and being pressured by investors to generate revenue) is applying the Googlesque algorithmic magic to to match user-interested adveritsing in multiple forms (visual/flash, txt, gifs, etc.) with the video one watches. My personal estimate is that advertising CAN offset the bandwidth/network/Hard Drive costs but will it sustain the consumer to keep going to the site? This is the REAL question.
They need to show a delicate balance of sustaining advertising without driving the user away. User-generated content is not like premium, content where the end-user wants to see it. Personally I'm not going to pay for youtube unless it's worthwhile content. Google *ahem* should if they ever go with this model develop videoRank or something similar to pageRank and pull up the most popular content and monetize those. For me personally, the problem with user-generated content I see on YouTube is 25-50% of it is SHITE! I mean low resolution shite! If I'm going to pay for something it better be
1. A good price, subscription based
2. Be on the NETWORK, this is something Google can excel at, using an OPEN standard so pretty much any device using Flash Player or something similar can access it. They need to develop an eco-system for this. I suspect Adobe is pushing hard for this with their recent announcement of trying to get Flash Player onto STBs in the home living home.
3. Ability to download it. I would accept a bit of DRM but it needs to be RESONABLE and EASY TO USE on the end-user who isn't technical.