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Of course tube sites make money. I have limited the length and number of new videos daily on my tube, and it makes me a tidy little profit every month after hosting ... very little work and it builds itself with a trickle of feeder traffic.
Am toying with selling it in the buy/sell forum, and doubt I would have had the offers I have if tubes weren't making anything.
Of course anyone with a brain knows illegal tubes with 30 min videos aren't exactly going to sell as well as more limited tubes, but hey thats just common sense.
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