Sunday, October 8, 2006

Google to Acquire YouTube for $1.65 Billion

Google confirmed that it will acquire YouTube, the leading, consumer video sharing site, for $1.65 billion in a stock-for-stock transaction. Following the acquisition, YouTube will operate independently to preserve its successful brand and passionate community.

YouTube currently delivers more than 100 million video views every day with 65,000 new videos uploaded daily.

  • YouTube was founded in February 2005, a preview was available in May 2005 and its service officially launched in December 2005.

  • In November 2005, the company raised $3.5 million in private equity funding from Sequoia Capital. This amount was increased to $8 million in a second round led by Sequoia in April 2006.

  • In September 2006, Level 3 will provide YouTube with its High Speed Internet Access via multiple 10GigE ports. Level 3 will also provide 10 GigE LAN PHY wavelength service across a nationwide footprint connecting YouTube's data centers.

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