LECTURER :

DR MARDZIAH HASHIM

PRESENTED BY :
MOHAMMED ABDULRAHMAN AL-KEBSI
AMMAR AMIERUL ZAHBA
Outline

Introduction

Company Founder

Company history

Core Business

Business Model

IT Application

Success Story

Awards

Lesson Learnt
INTRODUCTION

In November
YouTube is 2006, YouTube
Three former
a video- LLC was bought
PayPal
sharing website  by Google Inc. for
employees created
on which users can $1.65 billion, and
YouTube in
upload, share, and is now operated as
February 2005
view videos a subsidiary of
Google.

History of
 COMPANY
FOUNDER
 Founded by Chad Hurley, Steve
Chen and Jawed Karim, who were
all early employees of PayPal
 Chad Hurley, one of its co-founders,
serves as the CEO with its other two
co-founders Steven Chen, CTO, and
Jawed Karim, Advisor.
 Hurley studied design at Indiana
University of Pennsylvania, while
Chen and Karim studied computer
science together at the University
of Illinois at Urbana-Champaign.
 COMPANY
HISTORY
 The domain was activated
on February 15, 2005, and
23 April was the first video
uploaded, Me at the Zoo ("I
at the zoo ')
 By December 2005
YouTube official launch, 8
million videos watches a
day.
 Alexa ranks YouTube as the
third most visited website on
the Internet, behind Google
and Facebook
 COMPANY
HISTORY
 YouTube's early headquarters were
situated above a pizzeria and
Japanese restaurant in San Mateo,
California.
 YouTube’s current headquarters is
in San Bruno, California
 The choice of the
name www.youtube.com led to
problems for a similarly named
website, www.utube.com. The
owner of the site, Universal Tube &
Rollform Equipment, filed a
lawsuit against YouTube in
November 2006 after being
overloaded on a regular basis by
people looking for YouTube.
 SUMMARY

Type Subsidiary, limited liability company

Founded February 2005

Founder Steve Chen, Chad Hurley,Jawed Karim

Headquarters 901 Cherry Ave, San Bruno,

California, United States
Area served Worldwide
Key people Chad Hurley (CEO)
Steve Chen (CTO)
Jawed Karim (Advisor)
Owner YouTube LLC (2005–2006)
Google Inc. (2006–present)
Slogan Broadcast Yourself
Languages 24 languages across 23 countries
CORE BUSINESS
YouTube core business is online video sharing, online entertainment, and online community

YouTube is the dominant provider of online video in the United States, with a market share of
around 43 percent and more than 2 billion videos viewed in May 2010.

Reached an agreement with MGM, Lions Gate Entertainment and CBS, allowing the companies to

post full-length films and television episodes on the site, accompanied by advertisements in a
section for US viewers called "Shows“

YouTube has become a big marketing operation for businesses and there are even entrepreneurs
who are creating marketing agencies just to help other businesses gain exposure from YouTube
using viral video strategies.
BUSINESS MODEL

Growth
Strategy

Market Value
Segment Proposition

Value Chain Competitive

Structure Strategy

Revenue
Model
• To upload, to watch, and to share originally-content videos, beyond that it
became a place of entertainment
• Quick streaming
• Easy and nice interface

Value Proposition
• YouTube made its name by giving users the power to put their videos on the web.
It opened the door to millions of people who might not have had the means or the
technical ability to host a video online.
• In recent years, YouTube has moved away from this model and is embracing
professional video as the engine for growth.
• A new set of services, like Ustream or Justin.tv, has popped up to enable users
go one step further and stream live video online.

Growth Strategy
• YouTube has streamed live events several times in the past, so the technology and the
tools to use it are already in place.
• YouTube aim to continue growth through its innovative technology development that can
breach the gap of accessibility limitations
BUSINESS MODEL
• YouTube’s Competitor :Hulu,
Metacafe, DailyMotion, Free
Tube Online TV and etc
• Introduce YouTube Video Editor
– Easy for users to edit their
video by using YouTube
Strategy
• Share link via Twitter, Facebook,
email and etc
Competitive
• Competitive Technology
advancement such
as:Leanback, Comment Search,
Insights for Audience, Feather,
3D videos, 4k videos
BUSINESS MODEL
• Youtube get most of its revenue from
advertisement and partnership deals.
( CBS,BBC, Sony Music Group, Warner
Music, NBA and etc. )
• As a subsidiaries of Google, Youtube
received funds from Google
Corporation.
• YouTube has advertisements on its
Model
website and, occasionally next to
videos. Advertisers sponsor video
Revenue
contests and other things for the
YouTube community can participate in
which generates revenue for YouTube.
YouTube also uses Google AdSense
which you can learn about through
Google. 
BUSINESS MODEL
 Understand Register/Create an
Youtube account

Value Subscribe to Explore/ Browse

Chain video or channel the video

Structure
Upload/Share
video
• Unlimited age.
• The team developed a market segmentation based
on behavior, incorporating key factors such as the
purpose of the visit (entertainment, watching TV,
discovering new music, how-to, or education) and
the length of time visitors have to devote to
YouTube on a particular session.
Segment
• Using data YouTube already owns on videos
surfed, how much time is dedicated to each page
by a particular user, the amount of time in any
Market
given session by each user and as well other
metrics, the team segmented users by behavior
and then developed approaches that advertisers
could use to reach each segment.
BUSINESS MODEL
 YOUTUBE IT
APPLICATION
Key in your desired
video you want to
watch

OR

Sign in if you
already a member
or create new
account

*Viewers can watch videos even if they are not YouTube members
 Upload your video to
share with people
around the globe

•YouTube allow users to upload their videos, and share them to their profile in Facebook, Twitter, Reader,
and Orkut
•YouTube give users the opportunity to upload their videos directly from their hand phones and users can
upload their videos using the advance video upload
•YouTube provide information about legal issues that users can refer to when uploading
 Browse YouTube
videos or channels

YouTube allows users

and viewers to navigate
through their
tremendous video
categories and channels
Share video, like or dislike
current video, and even
write a comment on that
particular video
 YouTube
Mobile
Application
 IT APPLICATION
Technology
• Video Technology
A. Playback Technology
B. Uploading
C. 3D video
D. 4K Video
• Accessibility
• Platform
• Caption
• Content management
A. YouTube Content ID System
B. Content Verification Program
C. Audio ID and Video ID
D. Copyright Complaint Webform
CON’T.
• YouTube APIs and Tools
A. Data API
B. Player APIs
C. Custom Player
D. Widgets
E. YouTube Direct
F. Developer Dashboard
SUCCESS STORIES

In, 2006, YouTube

videos accounted for
an estimated 60% of
YouTube is one of
the online viewing
the world's fastest
market. And over 100
growing websites.
In less than two million videos were
Its popularity stems
years YouTube have being watched daily
from its natural
generates revenue and over 65,000
creation to turn
from 0$ to 1.65$ videos were being
average people into
billion dollars. uploaded each month.
celebrities like,
in 2010 YouTube
David after Dentist,
claims that they are
Tay Zonday, and
getting more than two
Michael Agrusso
billion views a day
with 24 hours upload
every minute
CON’T

12-year old Greyson Justin beiber two years

Chance was the ago was singing on his
surprise star of his couch, Beiber’s mom was
sixth grade talent Eager to share her son's
show in Oklahoma talent with their family,
when he performed a she uploaded some videos
Lady Gaga tribute in on YouTube for hope he
his school gym before would win a record deal,
a few hundred he won a record deal with
people. But on ashure, and he become a
YouTube he's now superstar with his hit song
been watched more “Somebody to Love” With
than 30 million times two million albums sold.
YOUTUBE PARTNERS SUCCESS
STORIES
 Demand Media brings together writers, editors, experts and
filmmakers to create informative content and develop online
communities around a wide range of topics from healthy lifestyles to
adventure travel to learning how to manage your personal finances
 In early 2006, the same year the company was founded, Demand
Media launched their first YouTube channel in hopes of driving
brand awareness and revenue for their new how-to website.
 Since YouTube's Partner Program they have launched over 20
YouTube branded channels housing more than 150,000 videos to
support their owned-and-operated media brands including
eHow.com, LIVESTRONG.COM, and Golflink.com, as well as niche
sites like Greencar.com.
 Subscribers to Demand Media's YouTube channels increased by
more than 1,000% with over 250,000 subscribers, Demand Media’s
channels currently generate over 2 million streams per day.
 AWARDS
In 2006 YouTube was awarded “The Best
Invention Of the Year” by Time Magazine

YouTube was awarded a 2008 George Foster Peabody

Award and cited for being "a 'Speakers' Corner' that
both embodies and promotes democracy.“

Entertainment Weekly put YouTube on its

end-of-the-decade, "best-of" list

In 2009 YouTube was awarded a Peabody

award

YouTube is the fourth most visited website in

the world
LESSON LEARNT

 YouTube serves as a community video sharing

website that encourages creativity, openness,
and freedom of speech to all people globally, also
serves as a knowledge base website that enable
people to view tons of knowledge-related content
 YouTube broad consumers accessibility can serve
as an advertisement platform that can promote
your businesses, products, and services no matter
how big or small