Notably, some skeptics have scoffed at the Google-YouTube deal, noting that Google plopped down too much money ($1.65 billion) for a startup that's not only a potential magnet for infringement lawsuits, but also one that has no discernable means of generating revenue.
Well, perhaps Google knows what it's doing. I envision Google starting a Google Video Ads program by which advertisers will be able to buy ad space at the beginning of all types of video clips throughout the Net, including YouTube -- which has tons of users and millions of daily hits, and it may very well be a good testing ground for a video-ad program. Oh, and according to reports, YouTube is in talks with Verizon to bring its clips to users' mobile devices, which means more eyeballs on YouTube clips -- and thus on ads.
How might it work? Well, bear in mind that YouTube clips are all tagged. Thus, a purveyor of pet products might have an ad attached to a YouTube video tagged as "cat" or "lemur." Sony, Microsoft, or Nintendo might put ads for their next-gen game consoles before a video-game related clip on a popular gaming site.
And perhaps the NBCs and Comedy Centrals of the world will decide they want to play nice with Google when they find that they can reap some advertising dollars by running sponsored TV clips on YouTube -- or incorporating Google-delivered video ads into TV clips on their own Web sites.
I do believe Google has devised a very powerful and impressive advertising program that leverages the broad reach of the Internet to encompass various types of media, both online and offline. There's a lot of potential here.
Search rivals needn't only be the ones feeling threatened by Google's seemingly unstoppable growth and momentum; the company is now encroaching more deeply into the territory of traditional ad brokers.
As for user: Who knows where else the next ad delivered by Google will show up. A billboard? Your cell phone? Your cerebral cortex? Or maybe on the cozy of the cup for your next latte at Starbucks -- no matter which side of the street you bought it.
What do you think of Google's ever-expanding ad program?