Google buys another powerhouse…

Just about an hour ago, the Wall Street Journal reported that search engine powerhouse Google, Inc. was in talks to purchase YouTube. After this purchase is complete, which may not be for a few days as it is still in its initial stages and is still purely rumour at this point, it could add a significant boost to Google’s conglomerate as it would drive more users to sites owned by the company.

With 46% of all users going to YouTube in August compared to 23% going to MySpace and a dismal 10% going to watch Google Videos, this will definitely help Google’s cause to generate interest in high-speed videos on demand. The estimated cost for purchasing YouTube? $1.6 billion…in retrospect, $650 million was spent on social network powerhouse MySpace.

By Ken Yeung

Ken Yeung is a journalist fascinated with the tech industry and internet culture. He's currently Flipboard's Assistant Managing Editor, overseeing news curation in technology, science, gaming and health. In addition to his day job, Ken's the co-host of "The Created Economy" podcast, examining the Creator Economy. In a past life, he was a former reporter for VentureBeat and The Next Web, covering tech startups, the industry's innovations and funding.