Youtube not making any money despite having 1 billion viewers

A new report from The Wall Street Journal(WSJ) has revealed that YouTube didn’t contribute to Mountain View’s earnings last year.

youtube-logo-768x398A new report from The Wall Street Journal(WSJ) has revealed that YouTube didn’t contribute to Mountain View’s earnings last year.

According to the report, most users arrive at videos via links, rather than daily visits to the YouTube homepage where Google could charge a premium for ads.

Further more, the site’s reach isn’t very wide either, with one source’s estimate that nine percent of viewers account for a whopping 85 percent of online-video views.

That makes it a much less appealing audience for advertisers than traditional TV programming, despite the outfit’s increasing investment in original content.

Search giant Google hopes that things the Music Key subscription service will be able to turn things around for them.

Via engadget