Youtube.com – Does this huge video and movie clip sharing giant actually make any money? Despite the fact that YouTube.com has become the second biggest search engine in the world, it seems to be in rough waters when it comes down to revenue generation. Come to think of it, it can be extremely hard to convert the huge amount of traffic the website is receiving into actual dollars.
Of course YouTube runs in-stream advertisements – but few would bother taking notice of the textual ads which appear at the bottom of the video they are watching. Even though this in-stream ad technology has pushed up the amount of revenue being generated, creating a dependency on advertising campaigns or programs like Google AdSense will never cover the costs needed to be covered.
Adsense advertisement inside the video and on the top right of the page
So then the question remains unanswered – how does YouTube make a substantial amount of money?
It tries to obtain premium advertisers – i.e. attracts different professionals to create an advertising campaign for their business. The more popular the website, the more expensive your advertising campaign would be.
Other than that, Google is working out a strategy to make this Herculean video broadcaster one of their best moneymaking machines. Until then, the losses Goggle suffers each year to keep YouTube running are huge – but under no circumstances is Google thinking to let go of the world’s favorite free video broadcasting service.
Interested in how Facebook.com and Twitter.com make money? Check out our articles on How Does Facebook Make Money? and How Does Twitter Make Money?
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