YouTube head Salar Kamangar gave a clear explanation today of why YouTube recently reorganized itself into channels: so it can charge more for advertisements.
Kamangar was speaking at the D: Dive Into Media conference in southern California today, and explained that YouTube was once known for videos of dogs on skateboards.
The ad rates for those videos — measured in CPM, or cost per thousand clicks — are because users aren’t very engaged.
“But if you packaged those videos as part of a dog-lovers channel or a skateboard channel, the CPM increases substantially,” Kamangarg explained.
He also said that YouTube and Google TV will eventually get a lot closer as broadcasters start delivering their content through apps — someday those apps will be available via Google TV.
And now: a dog on a skateboard.