In just 5 years, Youtube’s growth has been explosive and exponential. With over 2 billion views a day and users continually adding more videos, its growth does not appear to show signs of ceasing anytime soon. Despite this success, Youtube still has plenty of room for growth or improvement.
Specifically, Youtube fails to reach the online market of users viewing television shows and movies. Currently, Hulu dominates the American market of legal, free, online television shows. Hulu partners with NBC, Fox, and ABC to provide users full online television episodes. For a monthly fee, users can have access to even more episodes through “Hulu Plus.” Hulu also offers a small amount of free movies, but the legal online movie market is currently controlled by Netflix. For $7.99 a month, members have access to unlimited TV episodes and movies.
Is Youtube the only company with the potential to bring the viewing experiences and content of Youtube, Netflix, and Hulu together? Can they eliminate virtually all other online video competition by providing TV episodes and movies? I do not know how the logistics would work or whether there would be a membership fee, but as a consumer, I would love to have one site to visit for all of my music video, viral video, tv show, and movie needs. Obviously this would be an expensive expansion, and expansion often causes companies to lose focus on their original successful strategies. Nevertheless, Youtube should not immediately eliminate this massive opportunity.
Youtube is not even a competitor in providing television episodes online. Hulu provides programming from Fox, ABC, NBC, ABC Family and MTV networks.
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