Two of my favorite companies are now one. Read the exclusive out of Bloomberg just minutes ago:
Oct. 9 (Bloomberg) — Google Inc., the most-used Internet search engine, agreed to buy YouTube Inc. for $1.65 billion, adding the largest video-sharing site on the Web and an audience that watches more than 100 million clips a day.
Founders Chad Hurley and Steve Chen and their 65 employees will join the company, Google said today in a statement distributed by Business Wire. In less than two years, San Bruno, California-based YouTube has catapulted from startup to Internet icon with 34 million monthly U.S. visitors.
The stock purchase, Google’s largest, underscores the pressure on the Mountain View, California-based company from startups such as YouTube and friend-finder Facebook.com, which are creating new markets for film clips and social networking. The acquisition also builds on Google’s strategy to add more content to attract advertisers.
“YouTube has huge traffic and is able to reach and appeal to a whole new set of potential viewers,” Scott Kessler, an analyst at Standard & Poor’s in New York, said before the announcement. “That’s the key.”
Google has published their press release on the purchase as well. The official purchase was made in $1.65 billion in Google stock, so is that like 12 shares? 😉