According to Slate, YouTube draining money

There is an interesting article in Slate about how much Google is losing to keep YouTube running.  It quotes a report by Credit Suisse that Google will lose $470 million on it this year.  While user-generated sites like Flickr, Facebook, and YouTube are immensely popular--and get a lot of press--they've become, according to Slate, a "financial albatross."  Advertisers are less drawn to the content, and the company is stuck providing the bandwidth for the public to put up their pictures and videos:

"As Wayne argues, there's a very real possibility that YouTube as we know it is doomed. The company may have to institute restrictions to keep its bandwidth in check, or it could unveil any number of pay-per-use schemes (as some other video sites have done). Then the video free-for-all that we've grown to love will come to an end."

It seems that in most every aspect of the Internet now that same conclusion is being reached (and it makes me think of the debates that have been going on about the New York Times).  That the free-for-all hasn't exactly worked, and that advertising might not be the fix.

Read More:

You can see the Media Giraffe profile of Olivia Ma, the relatively-recently appointed news manager, here.