CBS: We Won't Be Buying YouTube

CBS ruled out a purchase of social video site YouTube Thursday,
although its chief executive said it would not rule out the purchase of
a smaller competitor. CEO Les Moonves said at a meeting of television
executives in London that the U.S. network is in the market to buy
so-called "new media" ventures.

Rumors of a possible deal between
YouTube and CBS began to swirl when the CBS executive was spotted
talking to YouTube founder Chad Hurley. However, the social video
site's asking price is probably much higher than the network is willing
to pay - it is rumored the company was looking for $1 billion.

"[YouTube] is obviously phenomenally successful," Moonves was quoted by
Reuters as saying at the meeting. "I doubt we would buy it at this
point." He added that the two men were only discussing distribution
deals, such as daily news and sports from CBS being uploaded unto the
site.

Several media conglomerates have turned to the Internet for new
streams of revenue -- the most high profile example being News Corp.
and MySpace -- with varying degrees of success. Moonves did not say if
CBS was interested in any of the currently available social networking
sites.

In addition to online networking, Moonves disclosed that
the company had been solicited by bankers to make bids on two
international broadcasters: UK broadcaster ITV and Endemol, the Dutch
company behind the worldwide smash hit "Big Brother." CBS already
broadcasts an Americanized version of the show in the United States.