One more reason YouTube's in trouble: Net Neutrality is over
There's one more reason, in addition to the money-bleeding, the lack of a buyer, and all the other reasons listed yesterday, that YouTube is dying: Net Neutrality is over.
YouTube uses Limelight Networks to deliver [Update: some of] its video. (Limelight's revenues have grown about 36% recently, according to a client. Nearly all of that is from YouTube.)
Limelight's broadband providers know that. They're starting the Limelight slowdown, via a technology called packet shaping. In other words, Net Neutrality is over. The telecom companies won. We can bet there are back room conversations with ATT/Yahoo, Comcast, Roadrunner, and other providers for Limelight and YouTube to pay to travel on their tubes. That'll jack up the cost of doing business for YouTube — with no new income to offset it.
