Tom makes a good case for how Google can pay a stunning $1.6 billion for YouTube, a service that many (mostly over 30) are still trying to figure out. Isn't this just a few million kids with cameras, goofy ideas, and a lot of time on their hands?
Turns out it's a lot more than that, and I agree with him, that GOOGLE is a great position to monetize YouTube and capture a rising tide of interest in this area. This, at a time that the whole media landscape is shifting away from broadcast and other old media to the Internet. A fascinating figure he got from a consultant is that "it costs about $1 per minute to deliver TV content to a viewer as compared with 5 cents per minute via a service such as YouTube." That 20 to 1 gap explains better than anything why old media is scrambling to position for the new era.
What will be interesting is to see how the Web 2.0 and all the new services will impact and possibly reform everything we know. Business. Education. Politics. Entertainment. Religion. It's all on the table now (quick quiz--remember when you had to truck down to the "record store" to buy a CD...our kids and grandkids will be fascinated in this historical tidbit).
Better hurry. The Google and YouTube guys aren't waiting around to see how this plays out.