The Wall Street Journal is reporting that Google Inc. is in talks to acquire the on-line video site YouTube Inc. for approximately $1.6-billion (U.S.).
Such a deal would represent one of the fastest creations of wealth in Internet history. YouTube was founded just last year in a Silicon Valley garage. The startup claims to already account for 60 per cent of all videos watched on-line. The site attracts nearly 20 million unique visitors each month, according to Nielsen NetRatings.
The Journal cited a single, unidentified source it said is familiar with the matter. It said discussions remain at a "sensitive stage" and could break off at any time. The rumour was first circulated by Michael Arrington, editor of a blog called TechCrunch.
Google, the world's largest search engine, has declined to comment on the speculation. It has a large war chest of nearly $10-billion in cash. A spokesperson for YouTube was not immediately reachable for comment this afternoon.
YouTube established its first deal with a major media company only last month, when Warner Music Group agreed to post its music videos on the site in return for an undisclosed percentage of related advertising revenue.
This is not the first time rumours have swirled about a major media company acquiring the Menlo Park, Calif.-based firm. When speculation began earlier this year, Chad Hurley, chief executive officer of YouTube, said the firm was not for sale and in fact was considering its own IPO down the road.
The deal would seem to make sense, but Google may be buying lawsuits (alleged copyright infringement by YouTube).
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Nathan Fake - Outhouse (Valentino Kanzyani Remix) || ID PLZ!PVD ID!!!
Disco and classical had sex while watching a sci-fi movie. Their child: trance.
Oct-06-2006 18:19
Misanthrope
Lest We Forget
Registered: Feb 2005
Location: Cause every time you turn on the music, I can't control what comes over me.
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Short time TA, Long time Guver, Good time giver.
Oct-06-2006 19:30
Magnetonium
Dubstep = Douchestep
Registered: Sep 2001
Location: Port Burwell, Ontario, Canada
quote:
Originally posted by Cosmic Fur
GOOTUBE?
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Whenever you go and buy something, you are affecting someone somewhere, be it environment, a person, or a community - you're making a statement with what you buy. So make it a smart choice ... Its a big picture
Oct-06-2006 19:32
Magnetonium
Dubstep = Douchestep
Registered: Sep 2001
Location: Port Burwell, Ontario, Canada
ROFL LMAO ... The funniest joke of the year. I just cried laughing .... GOOTUBE!
Whats funnier is that there is a gootune.net website with a logo that has a bit of both!
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Whenever you go and buy something, you are affecting someone somewhere, be it environment, a person, or a community - you're making a statement with what you buy. So make it a smart choice ... Its a big picture
Oct-06-2006 19:36
loca
the vibe raider
Registered: Apr 2003
Location: Oz
Well it's done. Google has bought YouTube for $1.65 Billion.
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Whatever it may take I keep on trying.
Oct-09-2006 21:24
King Luis
The Almighty King of TA!!
Registered: Feb 2006
Location: Oakville
i just heard it on the news now.
google is going to explode with free stuff on the internet. ie: video hosting, maps, mail, etc. i'm guessing they'll probably take over something like myspace next.
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Oct-09-2006 21:42
LiamK
tranceaddict
Registered: May 2006
Location: kitchener
quote:
Originally posted by Cosmic Fur
GOOTUBE?
I think "goomytubazon" was the scariest one I heard. That is bound to be bad for all of us in the end.
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some psyhead
Oct-09-2006 21:56
Swamper
Webmonstah
Registered: Jan 2000
Location: Toronto, Canada
Google has been running video ad pilots lately - the most recent one being a month ago between MTV/Viacom and Google - they chose 200 sites (TA was one of em) and ran them for a month to gauge user response/clickthrough rates for Video/Content ads.
By having such a large "video-friendly" user base like Youtube they just made it easy for themselves to implement context-relevant video ads (based on tags) alongside the vids on there. Rather than share that revenue with Youtube it made more sense to just acquire it outright. That's my guess.
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"In a world of illusion you only see what you feel"
Google's buying YouTube...
Nathan Fake - Outhouse (Valentino Kanzyani Remix) 
