Thursday, January 05, 2006

Google Video On the Way

ZDNET, OM Malick and others have reported that a new Google Video player and content deal will be announced at the product show this week. The Video Player includes payment features which indicates at least some of these on demand videos will be pay-per-view.

One of the things that people misunderstand about Google is the belief that it only makes money from advertising. It is true that Google currently makes its money from advertising but the service is to help folks find information. It should be obvious to all that Google will eventually be in the position to collect fees to help folks find the information, videos, music, books, locations and so much more.

The flood gates to content are finally opening. Magazines are now included in news services. TV shows are available for download. Several movie download services are available. Google will categorize this content and make it easy to access.

A big deal has been made of the Piper Jaffrey $600 call. Six hundred this year may be a stretch but this is no reason to avoid the stock. It could easily trade up $60 to $100 points this year which would make most investors happy. My target for the year is $520 but this means little. The internet market is going to expand so much that Yahoo, MSFT and AOL will make a lot of money (The movie library of TWX will likely be an important part of the Google Video announcement). Google is going to make a boat load of money for many years to come.

Do the Google Gulp, $440 shares are hard to swallow but they will be good for your financial health.

Read more on the Google Video Player:
John Battlelle

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