YouTube is on course to generate more than $1.1 billion in revenue by 2011, with Google sharing $397 million of that with content owners – including record labels. The numbers are based on the revenue-to-page ad revenues at MySpace, applying that ratio to YouTube based on its comScore traffic numbers. Mahaney thinks YouTube generated $727 million of gross revenues last year, sharing $254 million of it with content owners. The sharing figures are based on 50% of YouTube’s revenue coming from videos where it has a revenue-sharing deal with a partner, who get 70% of the revenues.

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