Google Alphabet had over $77 billion in market capitalization vanish and they are blaming YouTube.
A Bloomberg report showed that for years YouTube and Google/YouTube staff looked the other way as workers had knowledge that misinformation and meanness on the YouTube website was growing over time. It’s being reported that Google new of these trends and employees were told not to rock the boat.
Google adopted new policies and began increasing its censorious removing of channels such as Alex Jones and Prager University, leading conservatives to complain that company decisions were overly biased against them. Google was even accused of Anti Conservative bias at U.S. Senate hearings along with many large technology firms. As Google was changing YouTube algorithms, the video sharing company’s click growth rate began to decelerate.
Meanwhile, multiple new video services are launching and expanding including Netflix, Hulu, Amazon, AT&T WatchTV, Play Station Vue, Sling TV, Sony Crackle, HBO, Twitch, Disney, FuboTV, CBS All Access, Philo, Criterion Channel, Showtime, Sling TV, ESPN +, Google YouTube TV and more.
It appears the consumer might be overwhelmed as the market became saturated faster than most research predicted. Since most of these premium channels charge a fee, consumers have begun signing up for two or three and then sharing access between friends ,.
To reduce customer interest in the free viewing experience, premium channels are also trying to entice the most successful Google/YouTube content providers to produce for them. Even as that strategy leaves YouTube with reduced, conflicted and poorer content offerings, it is still a growing brand.
Most experts agree Google/YouTube, though stumbling right now, has become one of the best recognized streaming assets and quality brands in the entire world. Most companies would love to own YouTube’s quality assets, but in the short term YouTube execution appears to falling behind many, if not most, of their streaming peers.
Maybe Warren Buffet will be taking a look?