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Susan Wojcicki

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127
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2017-10-16
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2017-10-16
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  1. I mean, we could in the future. I mean, right now we spend billions and billions on this long tail of these amazing. That we have. Which we see as again our core business.

    2017-10-16 · Decoder with Nilay Patel · Recode Decode: Susan Wojcicki, CEO, YouTube · IDENTIFIED FROM THE TRANSCRIPT

  2. Go get it Mm-hmm. Do you expect to spend billions and billions on content? Because everyone's, you know, that's the big when Netflix, Amazon, again, I don't think Apple is as serious as others in that space. They sell phones pretty much or devices and things like that. Do you imagine spending getting into that range or just a different take on it, spending the same amount of money?

    2017-10-16 · Decoder with Nilay Patel · Recode Decode: Susan Wojcicki, CEO, YouTube · IDENTIFIED FROM THE TRANSCRIPT

  3. It's hard to have a hit show, you know? So, like, people are always like, well, yeah, like, we'd love a hit show too, right? If we knew what the hit show was, we'd go get it. But I think, you know, we have to be, we're starting with a subscription service. We really just started it when I was here. We've been building it up. We're building up our numbers. And we're figuring out what kind of content makes sense for us to have on our platform. And you'll see us continue to invest more and more in the content production area on the service on top of what we're doing.

    2017-10-16 · Decoder with Nilay Patel · Recode Decode: Susan Wojcicki, CEO, YouTube · IDENTIFIED FROM THE TRANSCRIPT

  4. Well, that's a business where not one show is going to drive those numbers. What actually drives those numbers is the sum of many, many, many, many creators. And the fact that we have this giant long tail that's very diverse. And so. Yes, I think it is important for us as an adjacent business to figure out how do we grow a subscription service on top of that and how do we have high quality or higher production cost content and dramas, but that's a new area for us. It's a competitive area. And so, you know, we want to think about what can we do that's unique and different.

    2017-10-16 · Decoder with Nilay Patel · Recode Decode: Susan Wojcicki, CEO, YouTube · IDENTIFIED FROM THE TRANSCRIPT

  5. Show, like even having whether it's handmail's tail or house of cards, like yes, those are fantastic shows. Like if you look at the core YouTube business, to be able to continue to grow that, we have 1.5 billion signed in users coming to our site every single month. We've been growing it almost 50% year on year just in terms of our watch time. Like we have over 1 billion hours. And so that business is one where you're playing more than the...

    2017-10-16 · Decoder with Nilay Patel · Recode Decode: Susan Wojcicki, CEO, YouTube · IDENTIFIED FROM THE TRANSCRIPT

  6. Hulu. Well, so I think about this year is like we've been building up our subscription subscriber base, right? So that's why we've had red and we've been building it up. And we are starting to dip our toe into doing a lot more higher end content production. And we think that will be important to grow the subscription service. But I'll say even having a great

    2017-10-16 · Decoder with Nilay Patel · Recode Decode: Susan Wojcicki, CEO, YouTube · IDENTIFIED FROM THE TRANSCRIPT

  7. We're investing in Or Amazon Billions and billions of dollars. Although probably they got a lot of subscribers because, like Hulu with Handmaid's Tail has gotten a real, they finally done something that makes people want to subscribe to Hulu.

    2017-10-16 · Decoder with Nilay Patel · Recode Decode: Susan Wojcicki, CEO, YouTube · IDENTIFIED FROM THE TRANSCRIPT

  8. Well, so what we see is we see this amazing core business that we're investing in, and this opportunity to grow on top of this core business a subscription service. But Netflix has both spending billions and billions and billions of dollars. And so when you think about building a subscription service, you can't just start from scratch, right? You can't just say, oh, like, let's have billions and billions of dollars with no subscribers because that would probably not go over. Although they probably.

    2017-10-16 · Decoder with Nilay Patel · Recode Decode: Susan Wojcicki, CEO, YouTube · IDENTIFIED FROM THE TRANSCRIPT

  9. San Bruno, California. So we've actually hired Suzanne Daniels, who is a. Yes, you know Suzanne Daniels, and she is running our programming department. We have a well-funded budget for getting started. And we're starting to figure out, well, what are the types of shows that make sense for us to get done on our platform?

    2017-10-16 · Decoder with Nilay Patel · Recode Decode: Susan Wojcicki, CEO, YouTube · IDENTIFIED FROM THE TRANSCRIPT

  10. Yeah, well, I think what we saw, first of all, is that our YouTube creators were these amazing stars and they were creating content, and there was this opportunity for them to be able to, they wanted to create shows. And we saw that they had that ability. So we thought like if they want to create a show, we don't want them necessarily going to somewhere else. Their fans are on YouTube. But then we've actually started to go into new areas like we have step up coming up, for example, the end of this year where we're still working finalizing the time. But that's an example. It's a series that we're doing. It's about dance.

    2017-10-16 · Decoder with Nilay Patel · Recode Decode: Susan Wojcicki, CEO, YouTube · IDENTIFIED FROM THE TRANSCRIPT

  11. Live or things like that. So we now have deals with pretty much every single Hollywood company. They're putting their shows on YouTube. We work with many different organs. We get all the sports clips and we get the highlights. So across the board, we have really moved from this user-generated only to much more professional content. But you have in addition to user-generated.

    2017-10-16 · Decoder with Nilay Patel · Recode Decode: Susan Wojcicki, CEO, YouTube · IDENTIFIED FROM THE TRANSCRIPT

  12. From content And for user generated content. And we really have changed in the sense that we used to just be about user generated content where people are uploading and saying, oh, here's your cat. And it's on a skateboard, right? Like that was sort of the quintessential YouTube video. And we've moved to this area where we actually have thousands of people who are making a living just generating YouTube videos.

    2017-10-16 · Decoder with Nilay Patel · Recode Decode: Susan Wojcicki, CEO, YouTube · IDENTIFIED FROM THE TRANSCRIPT

  13. From HVO So, I think our thoughts have shifted a little bit on that. But I will say the main. Way that we have content is by being a platform. I think, first of all, we're a platform. We have these unique tools that enable a new generation of content creators to create content. And that is our core business. So it's really important when you run a company that is doing a million things and running a million miles, not to get confused. What's your core? Yeah, well, what's your core and what's the thing that's a growth area for you, adjacent but growth? And so our core is free ad supported platform for content.

    2017-10-16 · Decoder with Nilay Patel · Recode Decode: Susan Wojcicki, CEO, YouTube · IDENTIFIED FROM THE TRANSCRIPT

  14. I think it's a growing market right now. I mean, the opportunity for people, I mean, we're undergoing this huge seismic change. I mean, when you look at these markets of music and TV, these are ginormous markets. TV is estimated to be 500 billion. And the fact that people are changing their viewing behavior and they're moving to...

    2017-10-16 · Decoder with Nilay Patel · Recode Decode: Susan Wojcicki, CEO, YouTube · IDENTIFIED FROM THE TRANSCRIPT

  15. We're working on how they can come together. Right. And anyway, we're growing. Our numbers are good. And we'll come back to you within a moment. All right.

    2017-10-16 · Decoder with Nilay Patel · Recode Decode: Susan Wojcicki, CEO, YouTube · IDENTIFIED FROM THE TRANSCRIPT

  16. That we're ready to release. We're getting soon. We're getting soon. It's like 20 billion. You'd be like, we have 20 billion. Yes. And we'd love to share those big numbers. Right. YouTube music. So These are competing services, right? Pretty much.

    2017-10-16 · Decoder with Nilay Patel · Recode Decode: Susan Wojcicki, CEO, YouTube · IDENTIFIED FROM THE TRANSCRIPT

  17. We've not released it Well, I'll promise I'll tell you when we have a number that we're ready to release. We're getting soon. We're getting soon. It's like 20 billion. You'd be like, we have 20 billion. Yes, yes. So we have many big numbers and we'd love to share those big numbers. And I will say it is a growing service. We've been really pleased with the growth that we have there. And we've actually combined with play music. So play music is now working with the red team and with the YouTube music. So those two services cross authenticate each other. And so these are.

    2017-10-16 · Decoder with Nilay Patel · Recode Decode: Susan Wojcicki, CEO, YouTube · IDENTIFIED FROM THE TRANSCRIPT

  18. Have these other features, right? Like, you know, I just people say, Oh, I like it without the ads, or I just saw someone yesterday who does a lot of trips to Europe, and he said, I offline all this content before I get on a plane, and it's so great. I can watch it on the plane. And so I think there are many features within it. And so I don't want to say there's just one competitor that we're competing with there. It's a combination of both music and some content

    2017-10-16 · Decoder with Nilay Patel · Recode Decode: Susan Wojcicki, CEO, YouTube · IDENTIFIED FROM THE TRANSCRIPT

  19. It's a tough business, but on the other hand, we have a lot, a large collection. We have a unique set of videos and we think we can do a good job. And so there are a lot of people who like to come to YouTube. They like to listen to music. They like the way that our music does a recommendation. And so that's one part of the appeal of red. And then there's a second one, which is the original content. And so what we've focused on for our originals is we've focused on YouTube creators and them being able to do something that's original and unique above and beyond what they do on a regular show and then have that on YouTube red. And so right now it's a combination service as well as ability to

    2017-10-16 · Decoder with Nilay Patel · Recode Decode: Susan Wojcicki, CEO, YouTube · IDENTIFIED FROM THE TRANSCRIPT

  20. Well, I think we really have two services within one. So, one is the music service. That, I would say, yes, the competitors would be Spotify and Apple Music.

    2017-10-16 · Decoder with Nilay Patel · Recode Decode: Susan Wojcicki, CEO, YouTube · IDENTIFIED FROM THE TRANSCRIPT

  21. Collection. We actually. And we have the videos that go with it You want. So your competitors in that space would be Spotify, would be Amazon, others, how do you look at the competition? Because Spotify really is the YouTube of music, really, is the one that really captures people's imaginations. I know my kids listen to Spotify more, although they're big YouTube fans, but mostly in the videos, mostly in the video space. And then just yesterday for some unknown reason, my eldest son bought Apple music. I don't know. There was a song he couldn't get anywhere else. So it was interesting how I watch how they use it, but they definitely have an affiliation with Spotify more than the big players, for example.

    2017-10-16 · Decoder with Nilay Patel · Recode Decode: Susan Wojcicki, CEO, YouTube · IDENTIFIED FROM THE TRANSCRIPT

  22. Well, YouTube has a big music collection. We actually think we have the largest music collection of anyone out there. Like if you want any song, any version of the song. And we have the videos that go with it. But if you are interested in a specific type of Indian music, it's very likely we have that content. And so we wanted to be able to offer a listening service as well. And to do that, we had to offer a subscription service. And so we're offering in our red service an ability to have a full music service, some original content on top of that, as well as features like the ability to watch it without ads, as well as to be able to offline any content that you want.

    2017-10-16 · Decoder with Nilay Patel · Recode Decode: Susan Wojcicki, CEO, YouTube · IDENTIFIED FROM THE TRANSCRIPT

  23. By a subscription service and have paid for by ads. And if you look at most media, it's half subscription, half ads. And so we thought that there's some type of content that we want to be able to have on the platform if we don't have a subscription service. We won't be able to offer that. And also from a music perspective, it was really important.

    2017-10-16 · Decoder with Nilay Patel · Recode Decode: Susan Wojcicki, CEO, YouTube · IDENTIFIED FROM THE TRANSCRIPT

  24. Well, so Google has, and Google and YouTube have a very strong advertising business, and that's really been our core business, and we're focused on growing that. We think that's great because you can have free content. It can be for people all over the world. But a subscription service is also valuable because it enables you to have content that otherwise you can't pay for just with ads. So if you look at TV today, it's about half paid for by.

    2017-10-16 · Decoder with Nilay Patel · Recode Decode: Susan Wojcicki, CEO, YouTube · IDENTIFIED FROM THE TRANSCRIPT

  25. Studio in LA. The West Coast here. So let's talk about some of the initiatives you've been under. Let's start. We're going to talk a little bit over Hollywood in a second, but first let's talk about the subscription service. Obviously, there were lots of subscription services launched by Amazon, by Spotify, lots of things. And then you all, Apple and others, talk a little bit about why you decided to do this, because YouTube was later to this game. What was the thinking behind and how is it doing?

    2017-10-16 · Decoder with Nilay Patel · Recode Decode: Susan Wojcicki, CEO, YouTube · IDENTIFIED FROM THE TRANSCRIPT

  26. And we're in LA. We actually have a big studio in LA. We have a nice office next to it. We have offices in Europe. We have offices in Asia. So we have offices globally. But most of our engineering is happening in the West Coast.

    2017-10-16 · Decoder with Nilay Patel · Recode Decode: Susan Wojcicki, CEO, YouTube · IDENTIFIED FROM THE TRANSCRIPT

  27. So, San Bruno is our headquarters, and most people are here in San Bruno. But we also have offices in Mountain View, along with our own campus within Mountain View. We have offices in LA course.

    2017-10-16 · Decoder with Nilay Patel · Recode Decode: Susan Wojcicki, CEO, YouTube · IDENTIFIED FROM THE TRANSCRIPT

  28. And I also was bringing up different questions. Like, you know, for example, having a subscription service, that wasn't something that was currently in the mindset of YouTubers. Right, right.

    2017-10-16 · Decoder with Nilay Patel · Recode Decode: Susan Wojcicki, CEO, YouTube · IDENTIFIED FROM THE TRANSCRIPT

  29. Yeah, it felt like a startup, and I had to think back to those startup days, right? Because when I left ads, like, I had a great big management team. I had many VPs. You know, they all knew what they were doing. They'd all been there for 10 years plus. And they all had expertise. And so, yeah, and so I could, you know, we were able to have great leadership there. And then I got to YouTube. And there was a lot of change. There's a lot of questioning. It wasn't clear where we were going. I didn't have a full management team and there was lots of things that needed to be figured out.

    2017-10-16 · Decoder with Nilay Patel · Recode Decode: Susan Wojcicki, CEO, YouTube · IDENTIFIED FROM THE TRANSCRIPT

  30. Well, and to figure out who's when I identified as that there were a lot of roles that needed to be filled on the team. And it made me think back to how I had operated when I was in 2002 land, where you're doing the job and you are doing multiple jobs and you're recruiting for those jobs. And it's really, really hard. And so I was like,

    2017-10-16 · Decoder with Nilay Patel · Recode Decode: Susan Wojcicki, CEO, YouTube · IDENTIFIED FROM THE TRANSCRIPT

  31. Yes, it does. And I was the person generating the money that was paying for everything. But so that was definitely a challenge is to come into a new spot and to.

    2017-10-16 · Decoder with Nilay Patel · Recode Decode: Susan Wojcicki, CEO, YouTube · IDENTIFIED FROM THE TRANSCRIPT

  32. Well, I think the biggest challenge for me, first of all, was hiring the management team that we had here. So I think there was a, I mean, I realized because I had run Google for so long. All of those people had been people that I had hired or brought in or promoted over time. And so coming into a new place and actually having to gain respect of those new people. And they at first were, you know, why is she here? Right. Like she hasn't ever been part of YouTube. And even though I've been at Google for a long time, Google and YouTube are different companies.

    2017-10-16 · Decoder with Nilay Patel · Recode Decode: Susan Wojcicki, CEO, YouTube · IDENTIFIED FROM THE TRANSCRIPT

  33. Well, so when I started, I didn't really have any worry. I was just like, yay, you know, let me, I'm excited to be at YouTube, right? When I got here, I was like, wow, there are a lot of things I should be worried about. But when I first joined, I just was like, yay, I'm excited to be here.

    2017-10-16 · Decoder with Nilay Patel · Recode Decode: Susan Wojcicki, CEO, YouTube · IDENTIFIED FROM THE TRANSCRIPT

  34. Well, I had run ads for over a decade. I mean, we were at such a scale that we had all the great management team in place. I felt like I could pass it off to the next set of leaders. And it was really easy to have a new challenge.

    2017-10-16 · Decoder with Nilay Patel · Recode Decode: Susan Wojcicki, CEO, YouTube · IDENTIFIED FROM THE TRANSCRIPT

  35. Yes, Larry Page. Alphabet. Yes, he's CEO of Alphabet now. He was CEO of Google. Alphabet didn't exist at the time, but at the time he was CEO of Google and he asked me. And so I said yes, like right there on the spot. Yes.

    2017-10-16 · Decoder with Nilay Patel · Recode Decode: Susan Wojcicki, CEO, YouTube · IDENTIFIED FROM THE TRANSCRIPT

  36. Well, I had to be able to make a really fast decision in my head, like, did this make sense for me? So, you know, basically when he asked me, I said, yes.

    2017-10-16 · Decoder with Nilay Patel · Recode Decode: Susan Wojcicki, CEO, YouTube · IDENTIFIED FROM THE TRANSCRIPT

  37. So I didn't spend a lot of time analyzing it. So, when Larry asked me if I wanted to run YouTube, I didn't say, I couldn't go, I couldn't say to him, oh, like, let me go home and analyze this and do like pros and cons and then come back and talk about all the things that you were worried. Because I was worried if I said that, that like maybe I wouldn't get the job. Maybe I'd have to go somewhere else. I expect.

    2017-10-16 · Decoder with Nilay Patel · Recode Decode: Susan Wojcicki, CEO, YouTube · IDENTIFIED FROM THE TRANSCRIPT

  38. Competition Well, so this is a very competitive Market and it's always changing. And that's one of the things that I enjoy about it. I enjoy that it's constantly changing. I enjoy its competitiveness.

    2017-10-16 · Decoder with Nilay Patel · Recode Decode: Susan Wojcicki, CEO, YouTube · IDENTIFIED FROM THE TRANSCRIPT

  39. YouTube is an ecosystem between advertisers and creators and users, and that means that there are It's delicate. And so the more that YouTube can actually understand all three of those constituents, that's really important. So I've really tried to understand the creator mindset, get to know all of the creators, understand how more detail.

    2017-10-16 · Decoder with Nilay Patel · Recode Decode: Susan Wojcicki, CEO, YouTube · IDENTIFIED FROM THE TRANSCRIPT

  40. And we also have launched a few separate apps. So we launched a music app, we launched a kids app, and we've launched a gaming app. So those were actually new directions as well. I think the other thing that we've done a lot more that we've been really focused on is this idea that YouTube is not just a one-way broadcast, but it's a two-way conversation. How can we do even more in facilitating this two-way conversation? So really investing in the ability for creators to talk to fans. And for example, we've done a huge amount of work on our comments to be able to improve the quality and also to add a lot of features there mobile live. We've always had live, we've added mobile live, and we also enabled this community tab for creators to be able to talk to their fans with text and photos and polls and all kinds of other ways. And so that has been a really big area of mine. And I think also just building within the company, YouTube.

    2017-10-16 · Decoder with Nilay Patel · Recode Decode: Susan Wojcicki, CEO, YouTube · IDENTIFIED FROM THE TRANSCRIPT

  41. Yeah. So growth is always essential running any tech company. You want to make sure you're growing. So putting in place all of the right structure to be able to ensure growth. But then on top of that, there are other things that we've done that are very different. Like we've launched a subscription service, which is red. Red.

    2017-10-16 · Decoder with Nilay Patel · Recode Decode: Susan Wojcicki, CEO, YouTube · IDENTIFIED FROM THE TRANSCRIPT

  42. It's not quite the same. It's a neighborhood. It's kind of a neighborhood thing. It's more like sort of early Facebook, if you remember where they were. So, what would the challenges you wanted to face when you came here? What was your assessment of what needed to be done? And then talk a little bit about the growth, because it has grown a lot under your...

    2017-10-16 · Decoder with Nilay Patel · Recode Decode: Susan Wojcicki, CEO, YouTube · IDENTIFIED FROM THE TRANSCRIPT

  43. I will note it is in a separate, completely separate space from Google. It's far away from Mountain View. It's more a suburban neighborhood. Google has a campus. So it really is operating separately. Yeah.

    2017-10-16 · Decoder with Nilay Patel · Recode Decode: Susan Wojcicki, CEO, YouTube · IDENTIFIED FROM THE TRANSCRIPT

  44. It really felt like a little company that, and I saw this high growth, and I thought, well, I learned all these things being at Google. Now I have this opportunity to apply what I learned there and to make it happen here at YouTube and really benefit.

    2017-10-16 · Decoder with Nilay Patel · Recode Decode: Susan Wojcicki, CEO, YouTube · IDENTIFIED FROM THE TRANSCRIPT

  45. I want to say maybe like 1,500 people total. We, at least in our headquarters, we fit into one building. And so it really felt like.

    2017-10-16 · Decoder with Nilay Patel · Recode Decode: Susan Wojcicki, CEO, YouTube · IDENTIFIED FROM THE TRANSCRIPT

  46. So, I think this ability to be able to see where something is going is something I've really enjoyed. And I think, again, I saw that with YouTube earlier on. I saw this with our ads businesses the way it could grow. And so this opportunity to be able to have a vision about where a company is going and be able to work really hard to get there. The other thing is that I've been on Google's management team since the beginning. And so I've seen all of these decisions that have been made by all these great leaders who have been part of Google. And this has been an opportunity for me when I'm running YouTube is to be able to take advantage of all of those memories, those years and years of serving on the management committee and be able to think about like, look, we have a challenge. How do we handle this here? Also, when I first got here, it really felt like going back in time. Google was quite big when I left and I came back here. It was a smaller company.

    2017-10-16 · Decoder with Nilay Patel · Recode Decode: Susan Wojcicki, CEO, YouTube · IDENTIFIED FROM THE TRANSCRIPT

  47. Well, at the time when I joined, people would always say, Why do you use the world need another search engine? That was like the most common question because there were so many of them.

    2017-10-16 · Decoder with Nilay Patel · Recode Decode: Susan Wojcicki, CEO, YouTube · IDENTIFIED FROM THE TRANSCRIPT

  48. I like having a vision. I think I've always been able to See what's coming, and you know, when I was joined Google, people always was like, why did you join this company? It was so small at the time. I could see the importance of Google. I could see the way it was going to grow. It was going to become a big company. I could see the importance, even though no one else could see it. Well, that's because there have been a lot of...

    2017-10-16 · Decoder with Nilay Patel · Recode Decode: Susan Wojcicki, CEO, YouTube · IDENTIFIED FROM THE TRANSCRIPT

  49. And we outsource our ads to Google. And they serve those ads on our platform. And so I think it's actually an arrangement that works really well. It gives us some autonomy. It's important to Google. It's important. We get great services. There's a lot of things that we get for free as being part of Google that makes it much easier to be able to run YouTube.

    2017-10-16 · Decoder with Nilay Patel · Recode Decode: Susan Wojcicki, CEO, YouTube · IDENTIFIED FROM THE TRANSCRIPT

  50. We run an autonomous company, and the way to think about it is that we run on Google Infrastructure. Right, and they do ad.

    2017-10-16 · Decoder with Nilay Patel · Recode Decode: Susan Wojcicki, CEO, YouTube · IDENTIFIED FROM THE TRANSCRIPT