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Google May Buy YouTube

Internet search giant Google reported to be is in negotiations to acquire the streaming video site YouTube. According to The Wall Street Journal, the deal will cost Google about US$1.6 billion, but talks are still in early stages and could fall apart.

YouTube offers a community site that lets users upload their own videos for others to watch. It has grown dramatically since its February 2005 launch, and has caught the eye of advertisers looking for unique ways to launch viral marketing campaigns.

Google has been acquiring other companies as it broadens its online offerings. Earlier this year, the company purchased Boulder, Colorado-based @Last Software and its SketchUp application. Google later released a free version of the 3D design application to enhance the features of Google Earth.

Adding YouTube's video community-based video services could potentially extend Google's reach over the Internet even farther. Videos hosted by YouTube often are linked to through blogs, personal Web pages and social networking sites like MySpace.

Neither company is commenting on the talks. Taking a page from Apple's playbook, Google representatives stated "We don't comment on rumors and speculation."


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