Do you remember the days of dial-up internet and grainy videos? This is because in 2006, during the early days of a small website called YouTube, Google entered the deal of the decade, purchasing the fledgling company for 1.65 billion dollars. Although the website seemed slightly unstable, the writing was already on the wall . For now, these words can only be uttered in retrospect, as Google acquisition of YouTube must have appeared to be a miracle to both corporation at the time of negotiation.
YouTube is the holy grail of social media. It turned the tables on content consumption, be it music videos and cat videos, educational series and feature-length films. More than 2.7 billion users spend time on this platform – one third of the internet and one ninety-sixth of the world’s population. Only in 2023, the platform was visited 1.35 trillion times, asserting its dominance in video consumption on social media And check this – the country with the most YouTube users is India, with 462 million in 2024.
Google bought YouTube for $1.65 billion. Today, YouTube generates $1.65 billion of revenue every 16 days. PIC.TWITTER.COM/XXZRH2YINA
— Historic Vids (@historyinmemes) APRIL 17, 2024
However, YouTube has done more than entertain. YouTube has democratized content production. Anybody with a camera and a story can literally send out their message to the world . YouTube has catapulted regular individuals to the top echelons of fame while redefining the traditional media output model. YouTube has equally been vital in empowering social and political activists by providing a voice for those who do not have an opportunity to tell their version of the story. Finally, YouTube has even played an integral role in creating a close-knit community where creators and consumers of their content engage through comments, live chat, and other social media blog posts.
Of course, YouTube is not even a drop in the ocean of Google. As of 2024, Google made a total of $33.09 billion on Google Cloud and countless additional revenues from Google AdWords, and AdSense, Google Fiber, Nest smart home tools, and multiple other businesses. There will truly be no limit on its capacity, taking into consideration the growth rate and the number of people involved into its use.
However, with all of its fame and infamy, the video-sharing monster shaped popular culture and its audience. To sum up, it would probably be just to say that the Google acquisition of YouTube’s investment of 1.65 billion was not too much.
