How Google will integrate YouTube with AdSense

Yes, it is true. $1.65 billion.

I figured by the time the Google-You Tube negotiations had hit the Wall Street Journal, "sensitive stage" means that the deal is done and can only get undone should a key partner blink.

But no one blinked. Content providers fearful of being ripped off by You Tube posters have made their peace, and will get their piece.

Now what has to happen is for Google to figure out how to monetize YouTube.

There may be subcription and content submission fee models we don't know about yet. That's for another day,and another post. But for now, let us talk about the AdSense-YouTube tie-in.

Ideally, this would work by means of advertisers buying AdSense adverts tied to keywords that could be a YouTube clip's title, or even the tags within the specific content.

Say I own a travel agency specializing in trips to Italy. So I might be interested in purchasing AdSense ads on a page with Italy-themed title and tags. A page that I show you at the top of this post.

Wouldn't have to be text-based ads either. Google could actually render the advert as a separate YouTube video-effectively using You Tube's video play capabilities to monetize itself.