Myspace and YouTube – kings of UGC

This has been a good year for proponents of user-generated content (UGC). What with Myspace guaranteeing $1B in revenue from google, and youtube in turn exceeding myspace is daily visitors, the power and eventual profits possible from a user-generated content business are now readily apparent.

However, I think it’s instructive to consider the differences between myspace and youtube. With myspace, I think you can argue that the site truly is 99% user-generated content. By contrast, youtube is pretty well littered with user-uploaded content, or perhaps more precisely user-pirated content. The $1B question is, how much of those 100M video streams a day that Youtube is serving are serving pirated content? I don’t expect Youtube to be letting us know any time soon, but presumably that will be the first question asked by any potential acquirers.

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