Teenage Kicks

So now Google has YouTube will the kids stay interested? Will the teenage rule apply –

i.e. whenever parents/grown-ups want to get involved the kids just don’t want to know? Parent’s are not cool.

I’m obviously pleased to see emerging and disruptive technology companies turn from great ideas into great businesses that ultimately reward their creators with great financial returns (that I hope they don’t blow on women and cars but reinvest in future great ideas). Yet, I am worried about the huge amounts of money that has been spent on Web 2.0 social sites such as MySpace and now YouTube. YouTube hasn’t made a dime in profit, yet Google is prepared to spend (or gamble) $1.65 billion on it. Well I suppose they can afford it, but I can see another bubble growing…

I’m not convinced the ‘youth’ will stay committed to this brand, as an audience they’re perhaps the most fickle bunch, and if the experience becomes clunky, regimented, overly corporate or advertising heavy, I’m sure they’ll move on to the next best thing.

So will Google see a return? That is yet to be seen, if the predictions in revenue growth from Internet advertising are to be believed (up from $350 million to £1.1 billion end of 2008), they’ll be in the best position to take advantage for sure. But again, who two years ago could have predicted the growth in this form of social site? So come 2008 will the kids have a new hobby? I’m sure they will…

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