The Walt Disney Company is putting a lot of confidence in YouTube with their plan to purchase YouTube video network, Maker Studios, for $500 million. Maker Studios has around 55, 000 channels that generate 5.5 billion views each month and a subscriber base of 380 million. It’s also where you’ll find some of the biggest online video games.
This is significant because it shows Disney recognizes YouTube as a critical place to interact with the younger generations who have grown up with the Internet. YouTube, founded in 2005 by three PayPal employees and acquired by Google in 2006, is the second largest search engine behind Google. In fact, according to Social Media Today, YouTube is bigger than Bing, AOL, Ask, and Yahoo combined and is the fastest growing video sharing website in the world with over 3 billion searches a month.
If Maker hits certain performance milestones, then Disney will up the price to $950 million, according to Reuters.
A dream is a wish your heart makes… pic.twitter.com/Np6AAZXBk3
— Maker Studios (@MakerStudios) March 25, 2014
Congratulations, Maker Studios … and, smart move, Disney!