Completely Unsubstantiated Google/YouTube Rumor

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Update: The Wall Street Journal is now reporting this as well, saying “Google Inc. is in talks to acquire popular video-sharing site YouTube Inc. for roughly $1.6 billion, according to a person familiar with the matter. The discussions are still at a sensitive stage and could well break off, this person says.” More here.


I got an email tonight about a possible Google acquisition of YouTube that may be in the final stages before closing. Rumored price is $1.6 billion. A quick phone call to a VC confirmed that the rumor is circulating (he also confirmed the price), but that is far from confirmation that this deal is happening. I’m digging for more but the source on this one is very good.

We know that YouTube has had informal talks with a number of companies about acquisition in the $1.5 – $2 billion range. And I suspect Google won’t be daunted by the prospect of dealing with a ton of pissed off copyright holders.

Based on experience with these sort of rumors, I’d put this at 40% likely to be at least partially true.

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