Not too long ago, Google bought YouTube for $1.6 Billion. After that, YouTube is getting swarmed with complaints and lawsuits. Just now, MTV’s owner Viacom is going after Google+YouTube.
Viacom Inc. said Tuesday it has sued YouTube and its corporate parent Google Inc. in federal court for alleged copyright infringement and is seeking more than $1 billion in damages.
Viacom claims that the more than 160,000 unauthorized video clips from its cable networks, which also include Comedy Central, VH1 and Nickelodeon, have been available on the popular video-sharing Web site.
The lawsuit marks a sharp escalation of long-simmering tensions between Viacom and YouTube. Last month Viacom demanded that YouTube remove more than 100,000 unauthorized clips after several months of talks between the companies broke down.
Had Google not bought YouTube, I don’t think Viacom would have filed this lawsuit. That $1 billion in damages is almost two-thirds of the total value of the video sharing service.
YouTube is getting to be a huge burden for the search giant. They should calculated the “risk of lawsuits” and factored that in the acquisition value.