While Google parent company Alphabet reported slightly less income than analysts projected for the first quarter of 2016, top executives did point out a particularly strong player within its portfolio: YouTube.
Though the company’s spending increased as a result of content acquisition costs for YouTube during Q1, the company hopes that these investments could turn subscription service YouTube Red into a viable competitor to Netflix, Amazon Prime, Hulu, and other streaming platforms, according to MarketWatch. Google CEO Sundar Pichai said that YouTube Red “is resonating well with users,” and that after launching six original projects thus far, 15 to 20 more slated to arrive later this year.
In addition to developing its own original content, Pichai also hinted that the company was open to licensing Hollywood TV shows and movies for distribution on Red. “We will keep an open mind about all other avenues as well,” he said.
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Pichai also pointed to YouTube’s livestreaming initiatives as a promising feature, per Marketwatch, including new 360-degree livestreaming and spatial audio capabilities, as well as a live Microsoft event on YouTube that garnered 8 million viewers.
Google, which has several moonshots in the works such as self-driving cars and a life-extension initiative called Calico, says that YouTube once seemed like a far-off bet. “What seemed like a moonshot a decade ago has grown into a booming community of engaged users, creators, and brands, unlike any other video platform,” Pichai said.
