Google (NASDAQ:GOOG) To Launch Its New and Improved Ad-Free Version of You Tube

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By Erik Waters on October 28, 2014 Technology & Software

Google (NASDAQ:GOOG), the owner of one of the biggest and the most popular online video companies, You Tube, recently announced that it plans on offering a new version of You Tube. According to the head of YouTube, the new version will be free of any ads; however, the customers will have to pay for it.

The move, planned by the biggest online website service in the world, will be the first major step towards its change. It is important to note here that the site attracts around 1 billion users each month. You Tube provides free videos that are often tied with short advertisements and commercials.

One of the senior VPs at Google, Susan Wojcicki, who is also the head of You Tube service, while addressing a conference on Mobile and Code Technology in California on October 27, 2014, said that people will soon want to have a new and improved experience with You Tube; an experience where they do not have see the commercials and wait long for the page to load.

It is pertinent to note here that Susan was the one who supervised the advertising segment of the company for many years. Google generates huge revenues through its advertising projects. Susan was made the head of You Tube in February 2014.

According to Wojcicki, Google (NASDAQ:GOOG) plans to start its improved You Tube version as soon as possible. She, however, avoided sharing intimate details with the audience. The subscription fee for the new version is also a secret as of yet.

You Tube, back in May 2013, started its pilot program whereby the site allowed the creators of content to charge the customers through a subscription fee for the channels where they uploaded their contents. The company now plans to expand its subscription service whereby customers can choose between a paid but free of commercials version and a free but full of ads version.

Coming to the share prices of Google (NASDAQ:GOOG), the internet giant on the previous trading day, started its stocks at a price of $543 and ended the day at a much increased price of $545.79, after hitting the highest figures of $546.43. Such a huge increase in the stock price indicates that the investors have welcomed You Tube’s new plan and the traders are optimistic about Google’s future prospects.

The company currently has a target price of $646.67 on its stocks, which it will touch very soon if the investors and traders continue to be supporting the new idea that the company has recently threw in the market. As far as the beta and EPS (Earnings per Share) of the company’s stocks goes, the figures were recorded to be 1.145 and $19 respectively.

Google was founded back in September 1998 by Larry Page and Sergey Brin in California, United States. As for You Tube, the company was founded back in 2005 by three employees of PayPal. It was later on purchased by Google in November 2006 and the online video site is on a roll since then.