Quote:
Originally Posted by Jdoughs
Because EYEBALLS are worth money. Real unique views and users means advertising money and possibilities.
Youtube is a great example. Many ask why would google pay so much money to own that site, and not make anything substantial off it. If we took Youtubes expenses, and profits to set a value on it, well we wouldn't even come close to what its really worth.
They have the platform to lay out ANYTHING they want to 60-70 MILLION unique viewers over the period of a couple days. This is about more then just 'profits' this is market dominance and control at its finest.
How much would one of the biggest and fastest growing companies in the world pay for such exposure (even if it cost them a million bucks loss a day)? Only about $1.65 billion.
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True but I would bet the real value is in the data. Google is all about gathering data. Gathering surfing and searching data on 70 million per day is worth every penny for them + you can bet w/e they pay on bandwidth is pennies compared to what any of us pay.
Google's goal is gathering information. Everything they do, free wi-fi, free dns, browser, apps everything is all aimed at gathering more data.
Once traffic was king, once content was king, now data is king.