YouTube may soon offer an ad-free subscription service, perhaps inching Google's (NASDAQ: GOOG) online video platform further away from reliance on advertisers.
YouTube CEO Susan Wojcicki explained during a Re/code conference her thinking that it's simply a matter of giving customers choices: some will be willing to pay not to see ads, and so YouTube ought to cater to them. It's not clear what such a shift might do to YouTube's growth and revenue, but Re/code cited an estimate that it produced $5.6 billion in ad revenue last year, and Wojcicki said that fully 50 percent of its more than a billion visitors per month come from mobile.
Already, customers can buy some content through YouTube, but a freemium model along the lines of Wojcicki's description sounds different from what, say, Netflix (NASDAQ: NFLX) offers, and given how exceptionally successful YouTube appears to be with the status quo, what's the rush to shake it up? --
Most Americans probably assume that even if we were super-rich, the benefits of American citizenship would outweigh any increase in taxes we might pay compared to claiming citizenship elsewhere, and the vast majority of people seem to agree with that. However, the number of people renouncing American citizenship is growing, and that could be due in part to the Foreign Account Tax Compliance Act. -- Bloomberg video above
Leading The Business Journals:Sprint lays off hundreds more tech, network staff-- Bobby Burch of the Kansas City Business JournalReal estate network sues Zillow, claims the company stole trade secrets-- Rachel Lerman of the Puget Sound Business JournalTwitter stock falls 10 percent after hours as earnings guidance fails to dazzle-- Patrick Hoge of the San Francisco Business Times
David A. Arnott is assistant news editor with The Business Journals.
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