YouTube creator wants $1.5 Billion

By Justin Mann on September 22, 2006, 12:33 PM
The creator of YouTube seems to be looking for a huge chunk of change. Almost demanding a price tag of no less than $1.5 Billion, there's a very strong chance that YouTube's chance to be sold may be eradicated by the high cost. Due to various reasons, such as potential instability in its revenue stream and the fact that much of its content is pirated, some insiders are saying they'd pay only a fifth of that:

"If they were willing to take $200 million to $300 million, I would buy it tomorrow," a senior industry source told The Post.
Of course, the price is largely influence by YouTube's “potential” worth. Now that they are in discussions with major players like Warner Bros, they may have a chance to prove that the company is worth that much. They'll still have to clean up their act, though:

YouTube's stated business model is to "pursue advertising," but potential advertisers might be skittish considering industry estimates that roughly 90 percent of the content viewed on its site violates copyright laws. And at least one giant, Universal Music, is threatening to sue the company if its artists' songs keep appearing there.
All this over a bunch of low-res, stuttery clips.




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