What they had not yet figured out was making money from their site. Google Inc. took that problem off their hands Oct. 9 by agreeing to buy the site for $1.65 billion.

The deal makes YouTube the most expensive purchase made by Google during its eight-year history. Last year, Google spent $130.5 million buying a total of 15 small companies.

Although some cynics have questioned YouTube's staying power, Google is betting that the Web site will provide it a lucrative marketing hub as more viewers and advertisers migrate from television to the Internet.

The Japan Times Weekly: Oct. 14, 2006
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