After all, YouTube's investor, Sequoia Capital, was also an early investor in Google. This VC firm is not about making a great returns on its investments; rather, it wants to make blow-out returns.
And YouTube could be such an opportunity.
In fact, over the past few months, YouTube has been staging a talent raid of Yahoo. The company hired away such names as Rob Solomon, Yahoo's vice president of online shopping, and Tony Nethercutt, Yahoo's National Sales Director.
True, YouTube is still young (less than two years old). Yet the company has become a global media powerhouse. Given the Tsunami of advertising money flooding into the online world, YouTube is likely to ramp up revenues. It's something that should be easy, given that the company gets more than 100 million video views per day and has a market share in excess of 40%, beating out online veterans as well as traditional media companies.
Tom Taulli is the author of various books, including the Complete M&A Handbook and operates InvestorOffering.com.