Movies on Youtube

YouTube has secured a contract with MGM to display some of their movies in their full uncut format, and is working on a deal with Sony to do the same.  I wonder how this will effect the DVD sales overall.  Once this diffuses throughout the market will people still want to buy DVDs?

I think google/YouTube really missed the technological wave here (for once).  Hulu.com (owned by NBC) has been putting up full length movies for a while.  YouTube is just now getting into the game with Sony and MGM 7-8 months after hulu beat them to it.  YouTube still has a far greater market share, but a lead is a lead, and on the internet that big of a lead can make a huge difference.  

Another surprising fact I found was YouTube cost approximately 750 million dollars to maintain and improve last year, but only made 240 million.  A loss of more than 500 million dollars for arguably the most popular site on the web?  I was under the impression that google had turned YouTube into a profitable business.  I suppose I was mistaken.