Suranga Chandratillake’s inbox began showing the tell-tale signs of a slim down in the video sharing space last November. A few independently owned, semi-successful startups were e-mailing to ask if Blinkx, Chandratillake’s video-search company, was in the market for a video-sharing site or, at least, interested in buying traffic. Chandratillake declined. Blinkx wasn’t really interested in running a video upload site and definitely didn’t want to enter the field. “There’s a video-sharing shakeout,” says Chandratillake.
Around the Web, signs abound that the once-hot market for sites that let consumers share videos is cooling.