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Can anyone help me understand the economics of video streaming platforms?

Streaming, encoding, and storage demands enormous costs -- especially at scale (e.g., on average each 4k video with close to 1 million views). Yet YouTube seems to charge no money for it.

I know advertisements are a thing for YT, but is it enough?

If tomorrow I want to start a platform that is supported with Advert revenues, I know I will likely fail. However, maybe at YT scale (or more specifically Google Advert scale) the economics works?

ps: I would like this discussion to focus on the absolute necessary elements (e.g., storing, encoding, streaming) and not on other factors contributing to latency/cost like running view count algorithms.


Comments URL: https://news.ycombinator.com/item?id=40408515

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