Google is still king of the hill in search.

                          

It’s been only 48 hours and you’re already killing it?
I didn’t even know this was up already.

You have to let the service up for a little longer to make any judgments of these sorts.

However… being Devil’s advocate I’m with you on this one, it’s not gonna fly far, not even with cool blockbuster movies.

You don’t have to be a genius to understand that $3.99 seems a little too high for “renting” a movie to watch it on your computer, specially for a crowd that’s used to come to youtube for a bunch of short free video fixes.

This business model down the line won’t be a significant source of revenue for youtube, they’ll have to revisit their strategy and copy the Netflix flat rate model; Pay every month a flat fee and stream all you want from the ever growing catalog.

The Netflix flat fee model is the best available and the markets also like it; Netflix’s market cap ($NFLX) is now over $3 billion and Blockbuster’s has been reduced to a mere ($BBI) $70 million.

From a customer’s perspective I would never rent “on demand” films at $3.99 each, not even from my cable company and I’d be watching it on a big screen sitting comfy in my living room couch.

I rather stream to my heart’s contempt all I want without having to take my wallet out every time.

Flat Rates FTW.