In June 2007, YouTube began trials of a system for automatic detection of uploaded videos that infringe copyright. Google CEO Eric Schmidt regarded this system as necessary for resolving lawsuits such as the one from Viacom, which alleged that YouTube profited from content that it did not have the right to distribute. The system, which was initially called "Video Identification" and later became known as Content ID, creates an ID File for copyrighted audio and video material, and stores it in a database. When a video is uploaded, it is checked against the database, and flags the video as a copyright violation if a match is found. When this occurs, the content owner has the choice of blocking the video to make it unviewable, tracking the viewing statistics of the video, or adding advertisements to the video. By 2010, YouTube had "already invested tens of millions of dollars in this technology". In 2011, YouTube described Content ID as "very accurate in finding uploads that look similar to reference files that are of sufficient length and quality to generate an effective ID File". By 2012, Content ID accounted for over a third of the monetized views on YouTube.
On my last day in the ChuChu offices, Krishnan related a parable to me from the Mahābhārata, a Sanskrit epic. A prince wants to be known as generous, so the god Krishna decides to put him to the test: He creates two mountains of gold and tells the prince to give it all away in 24 hours. The prince begins to do so, parceling it out to people he thinks need it. But as the day ends he’s hardly made a dent in the mountains. So Krishna calls another prince and tells him he has just five minutes to give away the gold. This prince sees two people walking along, goes right over to them, and gives each a mountain. Just like that, the job is done. The moral is unsettling, but simple: Don’t impose limits on your generosity.
But sponsorships are where the big bucks are made, and where intermediaries like MediaKix and other agencies come in. This is the major leagues: Most brands aren’t interested in YouTube channels with fewer than 200,000 to 300,000 subscribers or average views of less than 10,000 to 20,000 per video, says Asano. The bar is also high because videos cost more to make, and require tricky negotiations —the sponsor will want to know where their product will be featured, for how long, and so forth. “When we’re connecting top brands with top influencers on YouTube, you’re talking a minimum budget of $50,000 to $100,000, and it just goes up from there,” Asano explains. “Some of the biggest YouTube influencers get paid $100,000 to 200,000 for a single video. And then those videos get millions of views. That’s why there’s a lot of money in the space.”
But even if you discount YouTube's multiples a bit to account for its profit uncertainty, you're still left with a very valuable business. At six times Mizuho's revenue estimate, YouTube would be worth $90 billion. At seven times, it would be worth $105 billion. And those valuation figures would rise a little more if one tacked on a slight premium (say, $5 billion or $10 billion) for the potential of YouTube's subscription businesses.
In a video posted on July 21, 2009, YouTube software engineer Peter Bradshaw announced that YouTube users could now upload 3D videos. The videos can be viewed in several different ways, including the common anaglyph (cyan/red lens) method which utilizes glasses worn by the viewer to achieve the 3D effect. The YouTube Flash player can display stereoscopic content interleaved in rows, columns or a checkerboard pattern, side-by-side or anaglyph using a red/cyan, green/magenta or blue/yellow combination. In May 2011, an HTML5 version of the YouTube player began supporting side-by-side 3D footage that is compatible with Nvidia 3D Vision. The feature set has since been reduced, and 3D feature currently only supports red/cyan anaglyph with no side-by-side support.
With two small kids in my own house, I haven’t been navigating this new world as a theoretical challenge. My youngest, who is 2, can rarely sustain her attention to watch the Netflix shows we put on for my 5-year-old son. But when I showed her a ChuChu video, just to see how she’d react, I practically had to wrestle my phone away from her. What was this stuff? Why did it have the effect it did?
National Geographic magazine has announced the winning entries in its annual photo competition. The grand-prize winner this year is Jassen Todorov, who will take home a $5,000 prize for his aerial image of thousands of recalled Volkswagen and Audi cars in the Mojave Desert. The contest organizers have shared with us the top winners and honorable mentions below, selected from a pool of nearly 10,000 entries. Captions are written by the individual photographers and lightly edited for content.
Not to put too fine a point on it, but this is almost precisely the problem that the rest of the media world finds itself in. Because quality is hard to measure, the numbers that exist are the ones that describe attention, not effect: views, watch time, completion rate, subscribers. YouTube uses those metrics, ostensibly objectively, when it recommends videos. But as Theodore Porter, the great historian of science and technology, put it in his book Trust in Numbers, “Quantification is a way of making decisions without seeming to decide.”
Previously, viewing YouTube videos on a personal computer required the Adobe Flash Player plug-in to be installed in the browser. In January 2010, YouTube launched an experimental version of the site that used the built-in multimedia capabilities of web browsers supporting the HTML5 standard. This allowed videos to be viewed without requiring Adobe Flash Player or any other plug-in to be installed. The YouTube site had a page that allowed supported browsers to opt into the HTML5 trial. Only browsers that supported HTML5 Video using the MP4 (with H.264 video) or WebM (with VP8 video) formats could play the videos, and not all videos on the site were available.
The SEC late last year prodded the company to explain why it doesn’t share YouTube data, according to regulatory filings in February. Accounting rules require companies to disclose revenue for operating segments that account for 10% of a company’s total revenue, profit or combined assets. YouTube’s numbers are included in Alphabet’s advertising figure.
Fifty years ago, the most influential children’s-television studio of the 20th century, Children’s Television Workshop, came into being, thanks to funding from the Ford Foundation, the Carnegie Corporation of New York, and the United States government. It created an unprecedented thing—Sesame Street—with help from a bevy of education experts and Jim Henson, the creator of the Muppets. The cast was integrated. The setting was urban. The show was ultimately broadcast on public television across America, defining a multicultural ideal at a time of racial strife. It was the preschool-media embodiment of the War on Poverty, a national government solution to the problems of America’s cities.
In any case, if you have incontrovertible evidence that YouTube is actually unprofitable today, and why that is (i.e. is it because they’re just investing all that profit back into growth, or are their upkeep costs truly just on the order of multiple billions of dollars?), would love to see it and adjust this accordingly. Doesn’t really change any of the points made though.
On September 13, 2016, YouTube launched a public beta of Community, a social media-based feature that allows users to post text, images (including GIFs), live videos and others in a separate "Community" tab on their channel. Prior to the release, several creators had been consulted to suggest tools Community could incorporate that they would find useful; these YouTubers included Vlogbrothers, AsapScience, Lilly Singh, The Game Theorists, Karmin, The Key of Awesome, The Kloons, Peter Hollens, Rosianna Halse Rojas, Sam Tsui, Threadbanger and Vsauce3.
“The way YouTube is distributed is not always conducive to ad revenue,” said Tim Bajarin, principal analyst with Campbell-based Creative Strategies, which tracks the the technology sector. “The YouTube ads are on the side, but they are not embedded in the programming, like you see in television.” The current YouTube format might be good for consumers, but that doesn’t mean it’s all that great for the bottom line, Bajarin said. “They are going to have to change things up,” Bajarin said.
With 76 million subscribers, controversial gaming vlogger PewDiePie, a.k.a. Felix Kjellberg, is the most popular individual on YouTube. In a since-edited video posted on December 9, he recommended a litany of YouTube channels he said he’d been enjoying recently, briefly mentioning a YouTube channel called “E;R,” noting that it produces “great video essays,” including “one on [the Netflix movie] Death Note which I really enjoyed.” He also linked to the channel in his video description. (The recommendation has since been edited out of the video.)
But each of the three videos PewDiePie featured in his since-removed shoutout of the E;R channel featured fairly obvious examples of the channel’s offensive content — in fact, not only did part one of the Death Note review that Kjellberg said he liked directly invoke a racial slur in its video description (the description has since been edited), but the first 15 seconds of part two contain a blatant reference to a 2017 incident in which Kjellberg himself dropped a racial slur, strategically edited but unmissable if you’re familiar with the clip in question — which most of Kjellberg’s followers would reasonably be.
As more advertising dollars flow to YouTube, it's making the already hugely profitable Google even more prosperous. On Thursday, Google's corporate parent — Alphabet Inc., based in Mountain View, Calif. — said the company overall earned $5.1 billion, or $7.25 a share in the third quarter, up 27% from the same quarter last year. After subtracting advertising commissions, revenue climbed 21% to $18.3 billion. Both figures beat analyst projections.
YouTube originally offered videos at only one quality level, displayed at a resolution of 320×240 pixels using the Sorenson Spark codec (a variant of H.263), with mono MP3 audio. In June 2007, YouTube added an option to watch videos in 3GP format on mobile phones. In March 2008, a high-quality mode was added, which increased the resolution to 480×360 pixels. In November 2008, 720p HD support was added. At the time of the 720p launch, the YouTube player was changed from a 4:3 aspect ratio to a widescreen 16:9. With this new feature, YouTube began a switchover to H.264/MPEG-4 AVC as its default video compression format. In November 2009, 1080p HD support was added. In July 2010, YouTube announced that it had launched a range of videos in 4K format, which allows a resolution of up to 4096×3072 pixels. In June 2015, support for 8K resolution was added, with the videos playing at 7680×4320 pixels. In November 2016, support for HDR video was added which can be encoded with Hybrid Log-Gamma (HLG) or Perceptual Quantizer (PQ). HDR video can be encoded with the Rec. 2020 color space.