Earlier this year, an analytical report by Credit Suisse estimated that Google’s video service, the ever popular Youtube, was on track to lose around half a billion dollars this year.

The report said that while Youtube was the leader in online video streams, monetization of those videos was difficult as most of them were good-for-nothing domestic crap shot for no reason at all. [Okay, for some reasons but you and I are better off at not giving a damn.] And while Youtube was set to stream 75 billion videos this year, the sheer cost of bandwidth required to do so would mean loss in capital for it, like this: L-O-S-S.

But a new report from Arbor Networks says otherwise.

The report says that Google scooped up unused optical fiber cable, called dark-fiber, and may be channeling Youtube data through that. Moreover, it may be trading data with other ISPs. In effect, this brings down the bandwidth costs of Youtube to…less than what we pay for our internet connections.

Dammit!

So, far from the bad spot, Youtube is actually growing like a fat elephant on ‘almost-free’ steroids. Great news for you and me, we can still watch Russell Peters and Jeff Dunham. (And other things as well, for frustrated people.)

Russell Peters:

Jeff Dunham:

Sorry, nothing for frustrated people.

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SAWJ is a blogger from Pakistan. A PHP Developer by profession, he aspires to be a Software Engineer someday. You can find his personal blog here and follow him on Twitter here.