{"id":20270,"date":"2014-10-05T19:18:48","date_gmt":"2014-10-05T23:18:48","guid":{"rendered":"https:\/\/bejone03.expressions.syr.edu\/trf235\/?p=20270"},"modified":"2014-12-01T17:16:52","modified_gmt":"2014-12-01T22:16:52","slug":"youtube-4","status":"publish","type":"post","link":"https:\/\/bejone03.expressions.syr.edu\/trf235\/2014\/10\/05\/youtube-4\/","title":{"rendered":"YouTube"},"content":{"rendered":"
By Sean Mowry (scmowry)<\/pre>\n
\"Youtube<\/a>[1]<\/a><\/p>\n
Youtube LLC<\/b>
\n901 Cherry Ave
\nSan Bruno, CA
\n94066
\n(650) 253-0000<\/p>\n
Key Executives [2<\/a>]<\/strong><\/p>\n
Larry Page<\/a>\u00a0<\/b>CEO and Co-Founder<\/i><\/p>\n
\"YouTube<\/a><\/i><\/p>\n
Eric<\/a> E.<\/a> Schmidt<\/a>\u00a0<\/b>Executive Chairman<\/i><\/p>\n
\"YouTube<\/a><\/i><\/p>\n
Susan<\/a> Wojcicki<\/a>\u00a0<\/b>Senior Vice President, YouTube<\/p>\n
\"YouTube<\/a><\/p>\n
History<\/h1>\n
In 2005 three PayPal<\/a> employees, Chad<\/a> Hurley<\/a>, Steve<\/a> Chen<\/a>, and Jawed<\/a> Karim<\/a>, started up YouTube as a video-sharing site.\u00a0 <\/span>By the end of the first year, the site had 200,000 registered users and showed more than 2 million videos a day [3<\/a>].\u00a0 <\/span>In 2006, Google<\/a> bought YouTube for 1.65 billion dollars despite copyright concerns from media corporations at the time.\u00a0 <\/span>Google then decided to reach out and partner with the U<\/a><\/span>niversal<\/a> Music<\/a> Group<\/a>, CBS<\/a> Corp<\/a>.,\u00a0Sony<\/a>, and BMG<\/a> Music<\/a> Entertainment<\/a> [4<\/a>].\u00a0 <\/span>Now, more than 1 billion unique users visit YouTube each month and over 6 billion hours of video are watched every month on YouTube.\u00a0 <\/span>Each minute, 100 hours of content is uploaded to YouTube and according to Nielsen<\/a>, YouTube reaches more US adults ages 18-34 than any cable network.\u00a0 <\/span>The website is a global powerhouse, with 80% of YouTube traffic coming from outside the US [5<\/a>].<\/p>\n
\"YouTube<\/a>[18<\/a>]<\/p>\n
\u00a0Finances<\/h1>\n
Google Inc. reported consolidated revenues of $16.52 billion for the third quarter, ending September 30, which is an increase of 20% compared with the third quarter report from 2013.\u00a0 <\/span>$9.55 billion, or 58% of this revenue is from outside the United States.\u00a0 N<\/span>et income for the third quarter is $2.81 billion, which is down from $2.97 billion in 2013.\u00a0 <\/span>This is also lower than the second quarter net income of $3.42 billion [6<\/a>].\u00a0 <\/span>As of 11\/30\/2014, Google\u2019s stock is $541.83 [7<\/a>].<\/p>\n
\"YouTube<\/a>[19<\/a>]<\/p>\n
Subscriptions<\/h1>\n
YouTube is continuing to roll out two new subscription services this year.\u00a0 <\/span>The first is a wave of paid subscription channels, like those offered for free now, but without advertising.\u00a0 <\/span>This was launched in 2013 but the website is aggressively expanding the number of channels this year.\u00a0 <\/span>They now offer 238 channels, like NorthwoodsLeague<\/a>, which is a summer baseball league comprised of top North American College players [8<\/a>].\u00a0 <\/span>With more video online, and most of that online video is coming from YouTube, the website predicts that there will be a sizable share of the audience who would rather pay to watch the content than sit through advertising.\u00a0 <\/span>The project is a means of offering more options, and it also follows the subscription models of Netflix<\/a> or Hulu<\/a>, but at a more specific scale so that the site can operate effectively the same as before the rollout [9<\/a>][10<\/a>].<\/p>\n
\"YouTube<\/a>[20<\/a>]<\/p>\n
The second subscription service launched this year is that of Music Key, which is a program that allows users to watch music videos without ads while also giving them the option to download the content onto their devices for offline listening and viewing.\u00a0 <\/span><\/span>The mobile devices will also be able to continue playing music in the background when they switch to other programs.\u00a0 <\/span><\/span>In addition to album tracks, Music Key offers downloads of concert recordings, remixes, unreleased rarities and cover versions recorded by others.\u00a0 <\/span>While YouTube hails itself as \u201cthe biggest music service on the planet\u201d it is desperately lagging behind Spotify\u2019s<\/a> 12.5 million paying subscribers [11<\/a>].\u00a0<\/span><\/p>\n
In July of 2014, Google also acquired Songza<\/a>, a music streaming service that specializes in offering playlists made by people that are advertised for listening at any given time or during any given mood that you want.\u00a0 <\/span>Songza is still running as a separate service, but Google and YouTube are looking to apply the company\u2019s expertise to their products like Google Play or Music Key [12<\/a>].<\/p>\n
In other news, YouTube now allows users to upload video in 60 frames per second, where before they were capped at 30 frames per second [13<\/a>].<\/p>\n
East Coast Presence<\/h1>\n
YouTube is a west coast, online company, but now it has recently opened up YouTube Space New York, a studio in Manhattan that is available to any channel that has more than 5,000 subscribers and is part of the Partner<\/a> Program<\/a> in which ads are hosted and revenue is shared.\u00a0 <\/span>The studios are a way of giving content creators more means of making an effective product and expanding their audience while also giving the company a footing in the diverse media landscape of New York City.\u00a0 <\/span>Since the studios opened in other cities like London, Los Angeles, and Tokyo two years ago, more than 30,00 people have attended 450 workshops and created 6,000 videos that were seen for 47 million hours [14<\/a>][15<\/a>].<\/p>\n
\"YouTube<\/a>[21<\/a>]<\/p>\n
Another bonus to this is that it brings the company within proximity of Madison Ave, and they have been touring the studios with advertising executives to offer them an opportunity to collaborate with creators.\u00a0 <\/span>So a company like Maybelline<\/a> could use BrandLab<\/a> to host a day in which creators who focus in beauty could collaborate with them.\u00a0 <\/span>Many of these channels offer audiences numbers that would leave traditional players envious, but advertisers continue to put a low cost on these audiences.\u00a0 <\/span>The company hopes to change that mentality [14<\/a>].<\/p>\n
Competition From Facebook<\/h1>\n
\"YT<\/a>[22<\/a>]<\/p>\n
In early November 2014, a John<\/a> Lewis<\/a> Christmas<\/a> Ad<\/a> stormed social media.\u00a0 <\/span>The video was shared 200,000 times within the first 24 hours, and most of this was on Facebook.\u00a0 <\/span>While that might be good for the department store, Facebook<\/a> stole 40% of the online audience for the video, which would have previously belonged exclusively to YouTube.\u00a0 <\/span>Facebook is now placing video at the heart of the company\u2019s growth announcing this September that the platform achieved more than 1 billion views a day. Facebook is rolling out video advertising slowly, so that users can get used to the idea of having ads on their news feeds [17<\/a>].<\/p>\n