Ray - you make a very good point. I'm fairly sure there's a demand for this, but in business, there are no guarantees. There are a number of potential pitfalls for this idea - for example, it probably requires an established company with a large existing customer base to do well.
Another downside is that it would appeal mainly to individuals and smaller companies, and that those often expect very low prices - which the hosting company would not and should not offer. That limits the potential customer base.
And of course there's always the unknown factors, which can end up causing the biggest problems.
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Originally Posted by supzdotcom
How would the hosting companies make sure the videos that are uploaded are legal videos. I wouldn't want to worry about that as a hosting company
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The worries would be the same as the ones for any other hosting company, since there are few that disallow their customers from installing tube scripts. In fact, since the platform probably wouldn't allow user uploads, those worries would be smaller here than they are for other hosts.