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Colleen McAndrew

Google Acquires YouTube

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This is data intensive financial presentation of Google's acquisition of YouTube.

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Page 1: Google Acquires YouTube

Colleen McAndrew

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Created 1996

Mission Statement:to organize the world's information and make it universally accessible and useful

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Google Inc. (Public, NASDAQ:GOOG)Google Inc. (Public, NASDAQ:GOOG)Initial Public OfferingAugust 18, 2004$85 per share

Google Acquires YouTubeGoogle Acquires YouTube

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98.56% 98.80% 98.94% 98.91% 96.94% 96.78%

2009 Financial Tables Full year financial tables with quarterly data. Income Statement (In thousands, except per share amounts)

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upload

share

watch videos

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THE FOLLOWING TABLE SUMMARIZES THE ALLOCATION OF THE PURCHASE PRICE FOR YOUTUBE (IN THOUSANDS) GOODWILL IS NOT DEDUCTIBLE FOR TAX PURPOSES.

• YouTube was acquired by Google for $1.65 billion in stock.

• Combination created new opportunities for users and content owners.

• “companies share similar values; … both always put [their] users first and …(are) committed to innovating to improve their experience. Together, we are natural partners”

Google To Acquire YouTube for $1.65 Billion in Stock." Google - Press Center. 9 Oct. 2006. Web. 01 June 2010. <http://www.google.com/intl/en/press/pressrel/google_youtube.html>.

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ACQUISITIONS COULD RESULT IN OPERATING DIFFICULTIES, DILUTION AND OTHER HARMFUL CONSEQUENCES

ADSENSE PROGRAMCOULD BE POTENTIALLY LESS PROFITABLE IF IT WERE

DEEMED INEFFECTIVE BY THE ADVERTISERS

ACQUISITIONS OR DISPOSITIONS COULD ALSO RESULT IN … THE INCURRENCE OF DEBT, … ADDITIONAL EQUITY OR

DEBT FINANCING, WHICH COULD HARM OUR FINANCIAL CONDITION

2006 10K

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HAVE YET TO REALIZE SIGNIFICANT REVENUE BENEFITS FROM …

YOUTUBE

2007, 2008, 2009 Annual Reports

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“YouTube has been making a lot more money for us and our partners with content partner ad revenue more than tripling in 2009” 2009 ANNUAL REPORT

1.Promoted Videos

2.YouTube Homepage Ads

3.Engagement Programs and Contests

4.Display and Linear Ads

5.Click to Buy

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Content Providers

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Colleen McAndrew