Like a lot of people, I've been trying to puzzle out Google Video, which launched a week ago to a chorus of boos from reviewers. Apparently they were looking for iTunes-the-next-generation. What they got instead was a cheap toehold on the Google Grid and a low-end disruptor right out of the Innovator's Solution.
Google Video potentially lets any random idjit upload a video and publish it to the world (actually only the USA at this point I think). Apparently some already have. For someone looking to burn some time watching joke videos and Family Guy rips, it's incredibly simple and easy. You can watch the free stuff as Flash videos with one click.
The paid stuff is a little more complicated but not much. There's a proprietary video player (based on DivX codecs) that does some weak digital rights management. Basketball games for $3.95 aren't going to set the world on fire, but I don't think that's what this is all about.
Behind the scenes, apparently, Google has created a Paypal-like payment handler. Put it all together now: Google Base, Google Video, Blogger, Adsense ... sell your stuff or give it away, and if you make money, Google takes a cut. Let's say I'm a real estate agent. Or a car dealer. Why not put my videos on Google?