Google shows interest in buying YouTube

A few days ago, Michael Arrington from Silicon Valley blog TechCrunch started the rumor mill by exposing a tip he received. The tip stated the following:

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.

This is a big rumor, but if Google’s past products are any sign, it’s an unlikely one. I mean, they’ve already got Google Video which is second to YouTube. All they have to do is hire a designer and make it usable and they’re on their way to making a crap load (that’s the technical term). Arrington went on to humorously call the rumor “40% likely to be at least partially true.” Shortly after he posted these findings, the Wall Street Journal also jumped on-board with the rumor. And we can always count on Nick over at ValleyWag to shed some light on the situation. Here’s a bit from his write up entitled: Holy hell, Google might actually buy YouTube.

This is, of course, a few months after co-founder and CEO Chad Hurley said YouTube wasn’t for sale and might go public on its own. Months. That’s forever in Internet time, so it doesn’t count as lying.

Update: Google has bought YouTube…read more here.

Read [TechCrunch]
Read [WSJ]
Read [ValleyWag]