Google headache because of making money from YouTube

The search giant's top priority this year is figuring out how to make money from YouTube's number one video sharing website, Google CEO - Eric Schmidt said on television.

"I don't think I have found the perfect YouTube exploit. In fact, we are still researching and investigating. It is also the company's number one priority in 2008," he said. Schmidt announced on CNBC yesterday.

As planned, YouTube will announce a new product series in the near future to attract advertising cash flow.

"We believe that the best products will be released this year. These are all 100% new products, which have never been revealed before."

At the same time, the ads that YouTube shows will also be "much more creative, interesting and relevant than today."

Immediately after this information, the price of Google shares rose to $ 26.39 to reach $ 584.86 per share.

Since the beginning of the year, Google shares have lost about 15%, but nonetheless, compared to the record low of 6 weeks ago, it has recovered 40% of the market price.

" YouTube's new advertising service will far exceed the basic in-line advertising that this website is providing, " Schmidt promised.

In-line ads are ads with text that runs along the bottom of YouTube's video clips.

(Photo: AP)

Fear of Microsoft

In the long run, Google will focus on automating the "advertising industry worth billions of dollars".

At the same time, efforts to penetrate deep into the software market will also help the company establish relationships with large corporate customers, which can "last from 20, 30 to 40 years".

"This will be an extremely, extremely attractive and lucrative market for us."

When asked about the possibility of strengthening cooperation with Yahoo, Scdmidt just kept silent and stated that everything was still "open".

Currently, the test program under which Google will run ads on 3% of Yahoo's site area has not ended.

According to Schmidt, Google's biggest concern in the event that Microsoft acquires Yahoo successfully, the alliance will limit users' choice in many areas of technology, such as email and instant messaging IM. .

"With these markets, they can control up to 80 or even 90% of the market. Microsoft is already famous for its exclusive behavior and limited user choices in the past."