Posted By Rich Miller On October 30, 2006 @ 10:36 pm In Google | Comments Disabled
Universal obliged and sued two capable YouTube clones, Bolt and Grouper. This has several effects. First, it puts enormous pressure on all the other video sites to clamp down on the laissez-faire content posting that is prevalent. If Google is agreeing to remove unauthorized content they want the rest of the industry doing the same thing. Secondly it shuts off the flow of venture capital investments into video firms. Without capital these firms can’t build the data centers and pay for the bandwidth required for these upside down businesses.It’s important to note that Cuban has an axe to grind on this issue, as he was already on record with his belief that YouTube is a house of cards supported by copyright infringement , and was clearly taken aback when Google paid $1.65 billion for it. “I can’t say its 100 pct accurate,” writes Cuban, the billionaire investor and owner of the Dallas Mavericks. “I dont know. But it rings true, and I trust the source.” So take it with a grain of salt. It will be interesting to see whether denials (or non-denials) emerge on the key points raised by this account.
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URL to article: http://www.datacenterknowledge.com/archives/2006/10/30/will-gootube-hurt-data-center-demand-2/
URLs in this post:
 “Some Intimate Details on the Google-YouTube Deal”: http://www.blogmaverick.com/2006/10/30/some-intimate-details-on-the-google-youtube-deal/
 Comedy Central’s takedown notice: http://news.com.com/YouTube+takes+down+Comedy+Central+clips/2100-1030_3-6130868.html
 Rich Miller: http://www.datacenterknowledge.com/archives/author/richm/
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