Global Trends in YouTube Development - Report Example

Popularity, Privacy, and Profit: Trends in the Development of YouTube (name) (course) Table of Contents 1. Introduction 3 2. Background of YouTube 3 3. YouTube as a Social Network 5 3.1 YouTube Interactions 5 3.2 Memes & Views: Measuring Popularity on YouTube 6 4. Privacy and Security on YouTube 6 4.1 Objectionable Content 6 4.2 Copyright Protection 7 4.3 User Privacy 8 5. YouTube as Marketing 8 5.1 Business Use of YouTube 8 5.2 Marketing Yourself on YouTube 9 6. Conclusion 10 7. Status of the Research Project 10 References 12 Popularity, Privacy, and Profit: Trends in the Development of YouTube 1. Introduction This report is an abbreviated version of a literature review that is being conducted in connection with research on the development of the popular online video-sharing website YouTube. YouTube is much like other popular social networks such as Twitter and Facebook, in that it presents a variety of different ways in which it can be used; many users simply use it as a form of entertainment, while many interact socially with other users, sharing and commenting on videos. YouTube has also become a popular tool for news, education, and marketing organizations which have recognized they can reach a large audience through the site. The research project is organized around three themes: The popularity of YouTube, the privacy and security concerns that have emerged as YouTube has grown, and the ways in which YouTube is being used for marketing, both by companies and by individuals. The discussion will show that, despite some challenges and unintended consequences, YouTube has become a valuable social network with positive results for its users. 2. Background of YouTube YouTube was born on February 15, 2005 when three co-workers from PayPal, Chad Hurley, Steve Chen, and Jawed Karim, registered the internet domain name “youtube.com”. The very first video posted to YouTube was on April 23, 2005; it was a 19-second video of YouTube co-founder Karim standing in front of some elephants at the San Diego Zoo (Lidsky, 2010). YouTube was launched as a beta (test) site in May, 2005, and had its first one-million views video in September, a short video by Nike of Brazilian football star Ronaldinho. The “official” launch of YouTube was on December 15, 2005, after the investment firm Sequoia Capital provided $3.5 million in funding for upgraded servers and other equipment (Dickey, 2013). Another investment of $8 million was made by Sequoia in April, 2006, which paid off for YouTube and its largest financial supporter in October of the same year when Internet giant Google bought YouTube for $1.65 billion (Lidsky, 2010). With the help of Google’s vast resources, YouTube has grown rapidly in just a few short years, and has had some important milestones. In 2007, YouTube hosted its first presidential debates in the US, allowing users to submit video questions to the candidates. The first advertisements also appeared on YouTube in 2007 (Dickey, 2013). In 2009, YouTube launched its first musical “stars”: Britain’s Susan Boyle and Canada’s Justin Bieber, whose singing videos had millions of views and led to international fame for both (Lidsky, 2010). Both have been overshadowed by Korean singer Psy, however, whose “Gangnam Style” video was the first YouTube video to reach one billion views in December 2012 (Dickey, 2013). YouTube has since expanded its services to include Vevo, a music video channel managed in cooperation with major record labels; YouTube Live, a live streaming service for concerts, news programs, and special events; a movie rental service to compete with NetFlix and Apple’s iTunes; and has invested up to $100 million to create original content channels in a way similar to a television network (Dickey, 2013). In terms of its popularity, YouTube’s statistics are impressive. According to YouTube, the site has more than one billion unique visitors every month, who watch nearly four billion hours of video. In 2011, YouTube videos had a combined total of more than one trillion views, or about 140 views for every person on Earth. And YouTube users are not just watching videos; every minute, 72 hours’ worth of new videos are uploaded to the site (YouTube, 20132). 3. YouTube as a Social Network 3.1 YouTube Interactions YouTube users can interact in a variety of ways. A YouTube account is called a “channel”, and besides establishing an online identity for the user, it allows the user to save videos he finds interesting, subscribe to other users’ channels to get notifications of when they post new videos, post his own videos, and comment on others’ videos, which can be done either with written comments or by posting a “video reply” (YouTube, 20131). Research studies have found that there are a couple of unique characteristics of YouTube social interactions that make it different from other types of social networks like Twitter or Facebook. Because there are ways in which people can control who views or comments on their videos, users have the option of two different approaches to interacting on YouTube: the “Publicly Private” and “Privately Public” (Lange, 2008, pp. 365-376). In the first, users have accounts with their real names, but limit access to their videos or “channels”. In the second, the users’ channels and activities on YouTube are mostly public, but their identities are concealed with different user names and personal details. Most users do use YouTube as a form of entertainment more than a social network, according to another study (Haridakis & Hanson, 2009). However, the social network features of the site do make the experience different from other forms of entertainment, such as television or movie viewing. The ability to choose content and subscribe to channels makes the entertainment more personalized, and even if the user is not directly interacting with others (such as through making comments), his choices help to define the social networks for the users whose videos he regularly views (Haridakis & Hanson, 2009, pp. 329-330). 3.2 Memes & Views: Measuring Popularity on YouTube Popularity on YouTube is an important factor, particularly for marketers and others who use the site for promotional purposes. It is generally measured in five ways: The number of views for a video, the number of comments made on the video, the number of “favorites” the video receives (meaning other users have saved it to their own channels), the number of ratings the video receives, and the average rating for the video on a 1-to-5 scale (Chatzopoulou, Sheng, and Faloutsos, 2010). Chatzopoulou, et al. found that on average, a video had one interaction – a comment, share, rating, or favorite – once every 400 views (2010, p. 2). Another measure of popularity is a video becoming a meme. A meme is defined as a unit of culture that spreads from person to person through copying or imitation (Shifman, 2011, p. 188). In the context of YouTube, this usually means a parody of the original; for example, Psy’s “Gangnam Style” music video inspired hundreds of thousands of imitators. A search for “gangnam style” on the YouTube website returns more than five million results, and of course, there was only one “official” music video – all the rest are different versions of the original, or videos of people doing their own versions of the popular dance. 4. Privacy and Security on YouTube 4.1 Objectionable Content YouTube’s terms of service give several guidelines regarding the type of content that can be posted in videos. Pornographic material, videos promoting violence or hatred against individuals or groups, videos that promote or depict illegal activity (such as drug use), or “shock” videos, such as those showing dead bodies or animals being abused, are all expressly prohibited from being posted (YouTube, 20131). In cases that violate those rules, YouTube reviews the video and removes it from the site if necessary when a complaint is received about it. There have been cases when a particular video or even the entire YouTube site has been blocked in certain countries for political reasons. China, Iran, Pakistan, and Turkmenistan have permanent bans on YouTube, while other countries selectively block the site for content that is found objectionable; for example, Thailand, where YouTube is otherwise freely available, blocks any video that is perceived to be offensive to Thailand’s King (“YouTube Censored: A Recent History”, n.d.). In a well-known recent case, a video posted by an American user mocking Islam and the Prophet Muhammad was blocked by Google in many countries, after the video caused strong protests from Muslim communities (Ribeiro, 2012). 4.2 Copyright Protection Copyright infringement, or the unauthorized use of copyrighted material, is a big problem for YouTube. Because users can post anything they have access to, the videos or the music used in videos often belongs to someone else. YouTube is very strict in removing copyrighted material if the copyright owner complains, and users are warned about respecting copyrights in the YouTube terms of use (YouTube, 20131). Because music videos are so popular on YouTube, the Vevo music video channel was started in 2009 in cooperation with recording companies to allow users to view and share music videos without committing copyright violations (Dickey, 2013). Even so, some copyright disputes still exist. In Germany, for example, as much as 60% of YouTube’s content is still blocked because of an ongoing copyright dispute with the country’s largest film and recording association (“YouTube Censored: A Recent History”, n.d.). 4.3 User Privacy As Lange (2008) points out, the way in which YouTube works allows users to have a great deal of control over their own privacy. Users can be anonymous (using an invented identity), limit the number of people who can view, share, or comment on their videos, and of course, can maintain privacy simply through limiting their own commenting and sharing activities. A different kind of privacy issue is much harder to control, and that is when a person is an unwilling subject of a video posted to YouTube. An example of this kind of situation happened in Brazil in 2007, when a video of a well-known model engaging in sexual activity with her boyfriend on a beach was posted to YouTube. A lawsuit was filed, resulting in YouTube being temporarily blocked in Brazil; the ruling was later revised to apply only to the video (“YouTube Censored: A Recent History”, n.d.). While YouTube does act on complaints of invasion of privacy, it can only take action on its own site; videos can still be spread by being downloaded from YouTube and posted in other places on the Internet, or can even be re-posted to YouTube with different titles and descriptions. 5. YouTube as Marketing 5.1 Business Use of YouTube The marketing potential of YouTube was realized as soon as the site was started, and in fact, the first million-view video – of Brazilian footballer Ronaldinho, as described earlier – was posted by Nike as an advertisement, although the video was not referred to as one (Lidsky, 2010). Other companies also have had big marketing successes on YouTube with videos that are presented as just entertaining videos rather than advertising. In 2006, two friends posted a video of the now-famous “Diet Coke and Mentos” experiment (the chemical reaction between the candy and chemicals in the soft drink creates a fountain). The Mentos Company immediately saw an opportunity and launched a YouTube channel inviting users to upload videos of their own “experiments”, and as a result, increased sales of Mentos by 20% that summer (Kaplan & Haenlein, 2011, p. 258). Kaplan and Haenlein point out that one of the biggest advantages of YouTube marketing is that it does not have to be “too professional”, and in fact, is probably more effective if it is not, because of the personal, social nature of the experience for users on YouTube. 5.2 Marketing Yourself on YouTube YouTube’s slogan is “Broadcast Yourself”, and it is true that the site serves as a tool for self-expression. Users can upload, share, or comment on videos they like, and build a network with other people based on common interests. YouTube is also a good way to share one’s talents with a large audience. Susan Boyle and Justin Bieber are two examples mentioned earlier, and the inventors of the “Diet Coke and Mentos” experiment described above even found some fame, earning an undisclosed amount from Mentos (and later, from Coca-Cola), and appearing on TV’s The Late Show with David Letterman (Kaplan & Haenlein, 2011, pp. 258-259). Even though there is opportunity for people to find fame and fortune through YouTube, researchers have found that most people’s interaction with it is perhaps not so much “Broadcast Yourself” but rather “Broadcast Things You Like”. Of three categories of videos studied – professionally-created videos, user-edited or uploaded videos created by someone else, and user-created videos – the last category appeared in the list of “most watched” videos far less often than the first two (Kruitbosch & Nack, 2008). 6. Conclusion In just eight years, YouTube has grown from a small internet experiment to one of the most popular social networks, with users viewing over four billion hours’ worth of videos each month. To put that level of popularity into perspective, four billion hours is more than 456,000 years. YouTube is many different things, which is probably why it is so popular; it serves as a way for people to entertain themselves, express their creativity, and interact with others through sharing videos they like and commenting on others’. Some YouTube users have seen their creations lead to “real-world” fame and fortune as well. YouTube also serves as an important source of information for many people, and has become an effective marketing tool for many companies. Nevertheless, YouTube is not without some risks and potential problems. Offensive content and copyright issues have led to YouTube being blocked in some places, and the public nature of the site – and the fact that it has such a large audience – means there is a risk of harmful content being seen by a large number of people before it can be controlled. Even so, the constant growth of YouTube indicates that the possible risks are not discouraging users. Given its popularity, it is safe to conclude that YouTube will continue to exist and be an important social network for a long time to come. 7. Status of the Research Project The purpose of this brief report has been to summarize some of the information gained in the course of the literature review for the research project. The literature review is being conducted now in order to investigate what kinds of studies on YouTube have already been done, and to better analyze areas in which research questions arise. The review of the literature also helps in examining different research methodologies. The next stage in the project will be the development of research questions and objectives, and the development of an appropriate research methodology. References Chatzopoulou, G., Sheng, C., and Faloutsos, M. (2010). “A first step towards understanding popularity in YouTube”, INFOCOM IEEE Conference on Computer Communications Workshops, 15-19 March 2010. DOI: 10.1109/INFCOMW.2010.5466701. Dickey, M.R. (2013). “The 22 Key Turning Points in the History of YouTube”, Business Insider [online], 15 February 2013. Retrieved from: http://www.businessinsider.com/key-turning-points-history-of-youtube-2013-2?op=1. Haridakis, P., and Hanson, G. (2009). “Social Interaction and Co-Viewing With YouTube: Blending Mass Communication Reception and Social Connection”, Journal of Broadcasting & Electronic Media, Vol. 53, No. 2, pp. 317-335. Kaplan, A.M., and Haenlein, M. (2011). “Two hearts in three-quarter time: How to waltz the social media/viral marketing dance”, Business Horizons, Vol. 54, pp. 253-263. Kruitbosch, G., and Nack, F. (2008). “Broadcast yourself on YouTube: Really?” Proceedings of HCC’08, 31 October 2008, Vancouver, BC. Lange, P.G. (2008). “Publicly Private and Privately Public: Social Networking on YouTube”, Journal of Computer-Mediated Communication, Vol. 13, pp. 361-380. Lidsky, D. (2010). “The Brief But Impactful History of YouTube”, Fast Company [online], 1 February 2010. Retrieved from: http://www.fastcompany.com/1514469/brief-impactful-history-youtube. Ribeiro, J. (2012). “YouTube video blocked in more countries, as Google faces legal threats”, IT World [online], 17 September 2012. Retrieved from: http://www.itworld.com/it-managementstrategy/295692/youtube-video-blocked-more-countries-google-faces-legal-threats. Shifman, L. (2011). “An anatomy of a YouTube meme”, new media & society, Vol. 14, No. 2, pp. 187-203. YouTube. (2013)1. “Getting Started”. Retrieved from: http://www.youtube.com/t/ about_getting_started. YouTube. (2013)2. “Statistics”. Retrieved from: http://www.youtube.com/yt/press/statistics.html. “YouTube Censored: A Recent History”. (n.d.). OpenNet Initiative. Retrieved from: https://opennet.net/youtube-censored-a-recent-history. Read More

YouTube has since expanded its services to include Vevo, a music video channel managed in cooperation with major record labels; YouTube Live, a live streaming service for concerts, news programs, and special events; a movie rental service to compete with NetFlix and Apple’s iTunes; and has invested up to $100 million to create original content channels in a way similar to a television network (Dickey, 2013). In terms of its popularity, YouTube’s statistics are impressive. According to YouTube, the site has more than one billion unique visitors every month, who watch nearly four billion hours of video.

In 2011, YouTube videos had a combined total of more than one trillion views, or about 140 views for every person on Earth. And YouTube users are not just watching videos; every minute, 72 hours’ worth of new videos are uploaded to the site (YouTube, 20132). 3. YouTube as a Social Network 3.1 YouTube Interactions YouTube users can interact in a variety of ways. A YouTube account is called a “channel”, and besides establishing an online identity for the user, it allows the user to save videos he finds interesting, subscribe to other users’ channels to get notifications of when they post new videos, post his own videos, and comment on others’ videos, which can be done either with written comments or by posting a “video reply” (YouTube, 20131).

Research studies have found that there are a couple of unique characteristics of YouTube social interactions that make it different from other types of social networks like Twitter or Facebook. Because there are ways in which people can control who views or comments on their videos, users have the option of two different approaches to interacting on YouTube: the “Publicly Private” and “Privately Public” (Lange, 2008, pp. 365-376). In the first, users have accounts with their real names, but limit access to their videos or “channels”.

In the second, the users’ channels and activities on YouTube are mostly public, but their identities are concealed with different user names and personal details. Most users do use YouTube as a form of entertainment more than a social network, according to another study (Haridakis & Hanson, 2009). However, the social network features of the site do make the experience different from other forms of entertainment, such as television or movie viewing. The ability to choose content and subscribe to channels makes the entertainment more personalized, and even if the user is not directly interacting with others (such as through making comments), his choices help to define the social networks for the users whose videos he regularly views (Haridakis & Hanson, 2009, pp. 329-330). 3.

2 Memes & Views: Measuring Popularity on YouTube Popularity on YouTube is an important factor, particularly for marketers and others who use the site for promotional purposes. It is generally measured in five ways: The number of views for a video, the number of comments made on the video, the number of “favorites” the video receives (meaning other users have saved it to their own channels), the number of ratings the video receives, and the average rating for the video on a 1-to-5 scale (Chatzopoulou, Sheng, and Faloutsos, 2010).

Chatzopoulou, et al. found that on average, a video had one interaction – a comment, share, rating, or favorite – once every 400 views (2010, p. 2). Another measure of popularity is a video becoming a meme. A meme is defined as a unit of culture that spreads from person to person through copying or imitation (Shifman, 2011, p. 188). In the context of YouTube, this usually means a parody of the original; for example, Psy’s “Gangnam Style” music video inspired hundreds of thousands of imitators.

A search for “gangnam style” on the YouTube website returns more than five million results, and of course, there was only one “official” music video – all the rest are different versions of the original, or videos of people doing their own versions of the popular dance. 4.

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