Can you make money with a Social/User generated content Site?

I was reading this article from Slate about user generated content and the cost of running “social” sites or other sites that contain user generated content. I’ve always wondered about the costs of running something like YouTube or Facebook and how exactly do they pay the costs of running the site.

A fun exercise is to take the content that you generate and cost it out, obviously we’re buying bandwidth in small quantities so its going to be expensive, but think about the costs.

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