I tend to think of Google as a media, rather than a technology, business. And now it has thrown itself headfirst into the business of online video, snapping up YouTube for US$1.65bn.

The deal ends a weekend of speculation. More significantly, it is a huge vote of confident in the future of video over the internet by one of the most influential companies around.

Quoted in The Times online, Google’s chief executive said:

“Most people believe this is just the beginning of the internet video revolution. YouTube is one of many investments we will be making.”

The popularity of YouTube and its clips of Mentos, Lonelygirl15 and more have surprised established media organisations.

So big broadcasters like CBS and ABC are rushing to offer their content online, while newspapers like The Washington Post, invest in training reporters to use video cameras.

I am not convinced that the success of YouTube means people want to watch video online. Why watch something on a small screen when you can watch it on a HD TV?

The internet, by its very nature, is an interactive medium. You want to click around and do stuff, not sit back and be passive.

The types of video that are popular on YouTube tend to be the news of the weird, or crazy funny stunts. And they are all short.

While people might lap up a short, funny three minute clip, I have yet yo be persuaded they will invest half an hour or more in online video.

The guys in Google are smart, but they seem to have paid a very high price to get into the business of online video.