'Buzz Targeting' from YouTube

In a previous post I talked about how YouTube and Adsense alliance is working out. As Eric Schmidt scratches his head on how to make money using YouTube content, a part of his plan was communicated today. YouTube will now use 'Buzz Targeting' - to understand this in simple terms YouTube will use some heuristics to calculate when a video is going to get hits that go through the roof and then use targeted ads as overlays on the video. This was communicated in a press release today.

These overlay Ads will not target UGC but target partner video content only. Whether this is enough to reach the goal of $100 million this year, we have to wait and see. In my opinion YouTube really needs a revenue sharing model. If a user uploads a video that meets the 'buzz criteria', the revenue generated from the ad is shared with the user. This would make things really exciting.

For now, lets see what comes next from the YouTube stable.