Revenue model

Revenue model

Before being bought by Google, YouTube stated that its business model is advertising-based. Some industry commentators have speculated that YouTube's running costs — specifically the bandwidth required — may be as high as US$1 million per-month,[26] thereby fuelling criticisms that the company, like many internet start-ups, did not have a viably implemented business model. Advertisements were launched on the site beginning in March 2006. In April, YouTube started using Google AdSense. YouTube subsequently stopped using AdSense. Given its traffic levels, video streams and pageviews, some have calculated that YouTube's potential revenues could be in the millions per month.[27]