YouTube, the social networking video sharing community, is said to be in discussions with Sony & Lions Gate Films to offer a Film & Movie Rental service through the YouTube portal.
YouTube, one of the internet’s visited websites, recently announced that it would be offering premium, professionally produced content onto its network in order to attract more users and increase advertising revenue. Last month, as part of an agreement, Time Warner, CNN, Cartoon Network and Adult Swim added older content to the YouTube Network. At present the majority of YouTube content is user generated or uploaded. The addition of paid content will see a dramatic change to the existing site, offering new sources of revenue and advertising opportunities.
“Google’s trying to find ways to better monetize this very good asset,” said Andy Miedler, an analyst at Edward Jones & Co. “As long as the economics make sense, I certainly applaud them for trying to increase the revenue stream.”
Chris Dale, a YouTube spokesman, declined to comment on “rumors or speculation.”
“We hope to expand on both our great relationships with movie studios and on the selection and types of videos we offer our community,” Dale said, without being more specific. The Wall Street Journal reported the story yesterday.
YouTube has also reported that it has come to a final settlement with PRS for Music and Music Videos will shortly be available to view in the UK once again. PRS requested a large royalty fee from YouTube for playing and distributing Music Videos and related content. YouTube announced that the Fee structure was too high and that advertising revenue would not fund such high charges.
After lengthy discussions with PRS, YouTube announced back in March that it would be blocking music content until a settlement could be made in regards to license fees. Nearly 6 months on and the service will finally be renewed.
Article by Creative SEO UK
