Google bought YouTube back in 2006 for hefty $1.65 billion. Although, YouTube went on to become one of the most influential
video hosting site, but it is not doing much for Google's bottom line. And now the online search giant is looking to fix it. In its latest attempt, Google is planning to lure Celebrities to set up their original content channels on the website.
Apparently, the company has set aside $5 million for each of the celebrities and it is planning to enlist 20 such celebrities. Google is betting on premium advertising attracted by such channels to not only cover its costs but also to earn a dime more. AOL and Yahoo are already using such tactics but both of these sites lack YouTube's clout. The new step may mean cash for the company but it is likely to be detrimental to independent YouTube stars. Existence of celebrity channels will ensure that the 15 minutes of fame enjoyed by such independent YouTube wonders will be slashed even further. So, which celebrities would you want to set their shops on YouTube?
Source: Slashgear
One thought on “Google to Set up Celebrity Channels on YouTube”
A natural extension of this is for Google to host entire TV channels. This would be a huge cost saving for the smaller TV channels and would provide a much greater reach than terrestrial aerials, cable or satellite.