Why do video sites help users mine and make money?


A few days ago, when borrowing Youku’s routing treasure from my colleagues, I received a blessing that “get rich at an early date.”

Last month Thunder released a small computer to share the bandwidth to dig "Crystal" to make money. According to the official statement, users earning money can reach a monthly income of 1,500 yuan (the highest theoretical value) in the 100-Mbit bandwidth. Informed sources in the industry told the author that "everything must have an ecosystem" will also launch their broadband mining products in the near future.

This is a new wave of small-scale crushing of the miner's machine after everyone has done routing last year.


What is actually behind "Miner Engine Hot"?

Computational resource sharing (bandwidth sharing is also one of them) originated and is more common in some very large scientific research projects, such as finding the largest Mason prime number GIMPS, such as finding an extraterrestrial SETI@Home at home. The commonality of these projects has amazing computational requirements and cannot be accomplished by a single computer, but supercomputers are expensive to build and maintain.

The same is true of the mining machine. Both Youku and Thunder spend hundreds of millions of dollars each year to purchase bandwidth (Thunder is not a video station, but most of its actual traffic is video). The logic of the two companies is to allow users to build distributed bandwidth sharing nodes, and ultimately pay or subsidize the user's bandwidth contribution. According to the public financial report, the bandwidth cost of Youku in 2014 was 917.3 million yuan; Thunder in the 2014 fiscal year was 40.4 million US dollars (about 240 million yuan); In addition, LeTV last year's bandwidth cost is also in the order of 2.4 billion yuan.

Wu Yu, general manager of Smart TV, Youku’s responsible for the Baobao project, told us that the above-mentioned bandwidth sharing is more reasonable than the final 1/2 of the total bandwidth investment. In other words, these families can roughly use 100-500 million yuan per year to use in the routing treasure / profit treasure.

Hardware enclosure

Wu Yan told the author that 30% of (domestic) internet traffic is video, and 70% of them visit Youku potatoes.

However, the fierce competition between video stations has caused video users to be as loyal (and even worse) than most e-commerce users. The latter moves with lower-priced standard goods, while the former Then it is updated with faster copyright content or exclusive self-control. Digression is, this directly led to the more fierce competition in the domestic video station copyright competition.

A hardware placed in the user's home will undoubtedly help and alleviate this loyalty/sticky anxiety of the video station. Therefore, the route treasure project has high hopes internally. From the public data, its sales growth is also much faster than the OTT department's earlier two other products (youku box and potato pie). Wu Hao told us that in March, Ruibao sold more than 100,000 units, and nearly 200,000 units in April. They hope that the total sales volume will exceed one million units this year. Robo's built-in video acceleration also stimulates users to use Youku more.

Wu Hao said that the router will also be a potential smart home entrance. But when this was said, Wu Xiao couldn't help laughing at the "smart home entrance" mentioned too many times last year but still vague.

The logic of Thunderbolt is similar and even more urgent because video download traffic is being weighed down by online video. A person close to the inside told the author that heavy downloading demand is always decreasing.

Fortunately, the user's response to the two mining machines is very enthusiastic, youku route treasure last month has been restored from the previous 88 yuan to 158 yuan in the normal price, but the sales increase does not decrease; Thunder is making money in the treasure is 3 Sold out 7,500 units in minutes. The secretiveness of the two companies is also reflected in the still-crowd money-making treasure that has now purchased another one's keywords.

In addition, a previous industry insider mentioned to the author that if the mining function can be used as a software plug-in to become the standard router, then the expansion of the two (in mining) will be very rapid. However, in fact, the two have not yet done so. One side is the difficulty of adapting to different types of routing. On the other, Wu Hao also indicated that they may have a place in the current intelligent routing environment with their own brands (currently only A few smart routers have sold more than one million.


How much gold can the user eventually find?

Youku has just brought out 100 million in cash to subsidize users. Wu Hao said that 20M's bandwidth theory is about 50-60 yuan a month. However, in the commentary on more than 20,000 pieces of the Baobao, we can see that many users complained that "even the electricity bills are not linked."

Wu Hao explained that this part is actually related to the network environment. A small number of small and medium-sized operators have limited or virtualized the uplink bandwidth. The actual bandwidth of the user may not even reach 2M. Wu Hao said that they will soon be online with a web version of the software used for speed measurement and revenue estimation, allowing users to know the approximate revenue before they purchase it.

However, Wu Hao also stated that for the miners, the user’s income level is also limited by the ceiling of the total cost of the entire enterprise bandwidth. Take the example of a bandwidth cost of 100 million yuan. Assuming that 1 million nodes are laid, it is actually on the hands of each user. Annual income is only 100 yuan. So for most of the companies that make mining machines, there are not enough bandwidth ceilings, the number of devices is too small to be effective, or the benefits to users are too small. He emphasized that Youku will have more than 1 billion yuan of bandwidth investment in 2015.

In addition, Youku has also launched a fixed income and advertising-free contract in the near future. It is also a compromise.

Finally, it remains to be seen how much money can be earned on the route and treasure.


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