Google YouTube - Merger

Talks of Google merging YouTube in are underway and is no longer a secret now. Google Inc. is in discussions with YouTube Inc. to acquire it for $1.6 million.

Now the questions that really comes to one's mind regarding this merger is that why is Google interested in buying a small video sharing site like YouTube when they already own Video sharing site Google Videos??? What's the ultimate benefit that YouTube is going to get out of this merger apart from the $1.6 million???

Google's interest to buy YouTube is of no surprise considering the growth and popularity of YouTube ever since it came into existence in the World Wide Web on Feb 2005. Its no longer an amateur site as it has around 20 million visitors each month to its site to upload, view or download the music videos, mps, personalized videos, TV clips etc., from its site...According to a survey YouTUbe has a hit rate of around 46 % when compared to Google Videos which hardly gets a hit at around 10%.

On the other hand YouTube Inc. has a benefit out of this merger. Currently YouTube Inc. is facing lot of issues with the Copyright Infringement as users try to upload contents which are not copyrighted to them. Under a corporate giant banner like Google, YouTube Inc. can reap benefits as this would clear up its possible legal challenges over the unauthorized posting and sharing of videos...

YouTube Inc. has proved what Google, Yahoo and Microsoft has never thought of it and is successful now as a partner of Google...

-Suresh Gangadharan