How YouTube Has Harnessed The Network Effect

December 10th, 2007 | Categories: acquisitions, networks, social media, trends

YouTube logo

Initially, it may not seem apparent how YouTube could harness the Network Effect. But upon further inspection, it becomes quite clear. The basic premise is this: I know that no matter what video I’m looking for, YouTube will have it 99.99% of the time. In other words:

“With every user added and video uploaded, the whole network becomes more valuable to all.”

It will be extremely hard for any other video sharing site(s) to play catch-up at this point. YouTube is just so far ahead. The amount of content almost seems insurmountable. Much in the same as eBay, as YouTube grows, the whole network becomes more powerful.

I believe this to be the biggest reason why YouTube has become the leading video sharing site on the net and continues to grow at a phenomenal rate.

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