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Google-Youtube -- what's really going on
Submitted by Scott Cleland on Tue, 2007-03-27 18:16
Google-YouTube like to spin that the billion-dollar copyright law suit from Viacom and the new online venture by NBC-Newscorp is just about "negotiating."
- Don't believe it.
- This is not simply a negotiation over "price;" it's all about video competition and the viability of video business models going forward.
- Google-YouTube are the video networks biggest competitive long term threat, not their natural "business partner."
What's really going on is Google-YouTube is trying to disintermediate all video content and network companies.
Make no mistake. Google already has built the largest "audience" of any "network" in the world -- ever.
Bottom line: This is competition and war, not negotiation.
So don't expect Google-YouTube's video competitors to give up their long term franchise and take a short term pay off from Google to allow Google to supplant their business model and take control of the monetization of their customer relationships.
The video content players would be nuts to fold their tents and cede the Internet video market to Google-YouTube.