I realize they charge what people are willing to pay, but can someone explain to me why YouTube costs just a couple USD a month in some countries and almost $20 a month in the US?
Are operating costs cheaper in those countries? Are they taking a loss in those counties? Or are they just price gouging in the US?
Well they are charging a premium for the service everywhere and more so in certain countries which can afford it but a big part is that in some countries people may only earn a few USD a day so they would not be able to afford it otherwise. I can’t speak on whether or not they are taking a loss in those countries, but i can’t imagine that they have a problem due to existing infrastructure from google all across the world.
If they raise the prices in those countries they would make less money because volume of subscribers would go down enough for total income to decrease.
If they lowered the price in the US, they would make less money because the subscribers they would gain would not be enough to offset the reduced income from each.
That’s it, it has nothing to do with operating costs or fairness, it’s just a question of what price point they believe will make them the most money in a given market.
I realize they charge what people are willing to pay, but can someone explain to me why YouTube costs just a couple USD a month in some countries and almost $20 a month in the US?
Are operating costs cheaper in those countries? Are they taking a loss in those counties? Or are they just price gouging in the US?
Well they are charging a premium for the service everywhere and more so in certain countries which can afford it but a big part is that in some countries people may only earn a few USD a day so they would not be able to afford it otherwise. I can’t speak on whether or not they are taking a loss in those countries, but i can’t imagine that they have a problem due to existing infrastructure from google all across the world.
If they raise the prices in those countries they would make less money because volume of subscribers would go down enough for total income to decrease.
If they lowered the price in the US, they would make less money because the subscribers they would gain would not be enough to offset the reduced income from each.
That’s it, it has nothing to do with operating costs or fairness, it’s just a question of what price point they believe will make them the most money in a given market.