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Wouldn't this be more in favour of breaking up Google? If YouTube is unprofitable, then Google is essentially dumping this service. It is harming competitors who do not have deep pockets of Google to bankroll their service. Breaking up YouTube means there would be a more level playground.

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Or a YouTube style site just wouldn't exist...

There are other sites out there offering similar services, albeit at a different scale. You could argue that some of them (like Twitch) are being dumped on the market in a similar manner, though.

Twitch's feature set is not that different from YT's at this point. They both have very elaborate streaming services, a financial support mechanism, viewable archives with seeking, automated muting for copyrighted content, and recommendations systems.

Fwiw Twitch is now owned by Amazon, not sure if it was/is profitable though - but it may be that the cost of such massive video platforms is too high to run without a parent company that can subsidise the costs.

In the case of Google/Amazon this makes additional sense because they own the cloud infrastructure, which I assume is the biggest cost of the platforms.

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