YouTube’s revenues were lighter than analysts expected, according toa new report from Amir Efrati at The Information.
Citing two sources, Efrati said gross revenue for Google from YouTube was $US3.5 billion in 2013. After payments to partners, net revenue was only $US1.5 billion. Efrati said YouTube is profitable.
Google never breaks out revenue figures for YouTube, so we’re left to rely on estimates and reports.
The $US3.5 billion is significantly behind forecasts. eMarketer thought YouTube would do $US5.6 billion in gross revenue in 2013. In 2012, Citi analyst Mark Mahaney predicted $US3.6 billion in gross revenue, and $US2.4 billion in net revenue.
It’s almost impossible to find a company comparable to YouTube. But, for some context, Netflix did $US4.3 billion in revenue last year (PDF link). Twitter, which is a user-generated content site similar to YouTube in some ways, did $665 million in revenue in 2013. ESPN, which is a traditional network, was forecast to do $US11 billion in 2013.
New YouTube CEO Susan Wojcicki will be responsible for getting YouTube’s revenues to grow.