Viacom Brings the Hammer Down On YouTube

Rob Hof

OK, so now Viacom's really serious. It's suing Google and its YouTube unit for $1 billion. Clearly, this is a negotiating tactic, since it seems unlikely Viacom could reasonably expect to get that much in court, especially given that YouTube apparently complies with the DMCA. And as Liz Gannes at NewTeeVee notes, YouTube apparently had only $15 million in sales all last year. Viacom also has a real interest in reaching audiences through YouTube. The question is on what terms. With the two sides this far apart, you have to wonder how they can possibly meet. But now Google has about a billion new reasons to get back to the negotiating table with something serious to offer.

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