A couple of days ago, Rich Miller asked if the Google/YouTube deal will hurt data center demand. According to anonymous commentary posted on Dallas Mavericks owner Mark Cuban's blog, Google asked media companies to pile lawsuits on YouTube competitors to slow them down:
This shuts off the flow of venture capital investments into video firms. Without capital these firms can't build the data centers...
Most online video sites don't seem to be building data centers with their investors' money though. VideoEgg recently got a $12 million investment from Starbucks Chairman Howard Schulz's VC fund. Its domain name traceroutes to Rackspace, and Business Week says it's using Akamai's content distribution network.
Metacafe, another contender from Fortune's "YouTube 2.0" list, has raised $20 million from Benchmark Capital since 2004. Earlier this week MarketWatch said it's the #1 video site in terms of amount of time visitors spend. It also appears to be hosted at Rackspace.
EyeSpot, a newer video startup, received $3.7 million in funding last week. It's hosted at Cari.net - possibly in a Cari S-POD? An S-POD includes a dedicated switch with gigabit uplink, private VLAN, 50Mbps of bandwidth, a Class C of IPs AND 14 Xeon servers for $2K. Sweet!
And GoFish, which took itself public via a reverse takeover, is hosted at Navisite.
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