The media company’s complaint asserts that almost 160,000 unauthorized clips of Viacom content have been made available on YouTube.
March 13, 2007
When Google bought YouTube for $1.65 billion in stock last October, the property was widely seen as a fixer-upper. Based on a lawsuit filed by Viacom on Tuesday, the house that Chad Hurley, Steve Chen, and Jawed Karim built has a nice view but its foundation looks shaky.
Google’s September 2006 10-Q financial filing put it thus: «[O]ur planned acquisition of YouTube may also subject us to additional copyright claims upon the closing of the transaction.»
Rumors at the time, denied by Google CEO Eric Schmidt, suggested Google had set aside some $500 million to pay copyright claims. A company spokesperson reiterated Schmidt’s dismissal of those rumors……