According to the Wall Street Journal , Google is ready to advertise before and after videos on YouTube. This year, the company will earn about $ 200 million in video service, which is lower than the established plan.
Eric Schmidt, the executive director of Google, has already expressed dissatisfaction with the revenue that YouTube brings. This is especially true given that the service cost the Internet giant $ 1.6 billion in October 2006. Adding this type of advertising will show that Google was unable to develop a new scheme for generating revenue from video service. Moreover, it can cause a backlash among users who have repeatedly expressed themselves against the introduction of ads.
Another problem is legal. Google can place advertisements with confidence only in commercials provided by media companies on the basis of receiving a portion of the profits from advertising. There is no more than 4% of such content on the server, all the rest is a custom video, which thus becomes the cause of billions of claims against Google and allegations of indulgence of video pirates. ')
Crosspost from " Blog about video "