This is just amazing, according to Internet Evolution, using data collected from Bear Sterns & Co, comScore, Credit Suisse and Google, the big G will spend over $2 million daily to keep the site up to the 375 million expected daily visitors.
Now, Google does not disclose sales figures by division, so there is no definitive revenue number for YouTube. The range of estimates from financial analysts stretches from a low of $90 million (Bear Stearns) to a high of $240 million (Credit Suisse).
All the numbers are well below the estimated maximum of $753 million Google is spending annually, based on our calculations. So, depending on whose version of revenues you accept, Google is losing anywhere from $513 million to $663 million annually on YouTube, or anywhere from $1.4 million to as much as $1.65 million every day (see chart below).
Google is paying big cash to allow us to watch all those videos in exchange for ads that aren’t even coming close to cover the expenses. Big numbers.. All what I can say is “Wow…Great Job Google!” What do you think?
May 28th, 2009 at 5:34 pm
May 28th, 2009 at 10:48 pm
May 29th, 2009 at 7:03 am
Thanks for article. Everytime like to read you.
Tania
June 26th, 2009 at 12:38 am