YouTube: The Massive $455 Billion Media Platform You Might Not Notice

YouTube $455 Billion Media Giant: YouTube is one leading app that many people cannot seem to get enough of.

The streaming unit is one of the world’s most valuable media companies and is worth at least $455 billion on its own. That’s more than 50% above Netflix Inc.’s market cap. 

YouTube $455 Billion Media Giant

The streaming’s true net worth is often overshadowed by its parent firm Alphabet, which is valued at $2.3 trillion thanks to being a leader in search and AI.

But still, the figure underplays YouTube’s actual value which as experts predict comes at a staggering $455B alone, as reported by Bloomberg. In case you might be wondering how much that is, it’s nearly 50% more than the market cap we’ve seen with Netflix.

An Analyst in Needham, Laura Martin, said, “There is this hidden value in YouTube that people can’t separately trade, and so it’s trapped in Google in a conglomerate that has a lot of other risks.

Those include worries that artificial intelligence might displace search, a threat that has “nothing to do with YouTube.”

Separation From Alphabet To Favor The Streaming Giant Says Investors

Needham went on to say that a potential separation would benefit those keen to invest in YouTube for its dominance in streaming, but also those who admire Alphabet more for its role in the explosive growth of AI.

Also Read: 5 YouTube Alternatives you Should Know in 2024

If even just 5% of YouTube was separately tradeable, this would add $15/share to Alphabet stock.

According to the chief global strategist at LPL Financial, Quincy Krosby, there are also a few signs that Alphabet or its megacap tech peers are contemplating obliging investors with any separations in the near term.

“Many companies when they mature, they start getting hedge funds or activists coming in and demanding that you spin off a company,” she said. “We’re not there with mega-cap tech yet.”