Friday February 6, 2009 13:30
Youtube still struggles in Korea
Youtube is not exception. It was opened in one year ago with promotion of Steve Chen, co-founder of Youtube, visited Korea. During one year, Youtube seems nice growth but, it still struggles amang Korean big players.
In last year, online video market was dramatically changed in Korea. Video startups such as Pandora.tv and Mncast.com have been pressed by high cost to manage servers and network traffic because of high quality video upload and download over 700kpbs.
At last, Mncast.com shut down their service in December and doesn’t reopen it, so is getting claims by users. It seems to be caused by debt for CDN(Content delivery network) company. Daum tvPot(30%) is fast-growing in this market, and Pandora.tv(18%) slows down. Cyworld video(12%) also slow changed to get market share. Naver video(9%) is not invested in this area despite of many visiting members. Youytube Korea(9%) was not changed from Jan to Dec.
Daum has 30% market share and it has 11 million playback per day and 200 million page view per month. You can guess how big is online video market. The problem is how to deduce cost and make a money in Korean tough market in ultra-high broadband environment.