YouTube splits revenues with users
YouTube is going to split revenue with users next week. I believe that this step will get out of the way competitors like Viacom.
“That will infuriate Viacom,” Bernoff said. “It may have been a negotiating tactic once, but it’s not now.”
The procedure is simple: users upload their videos, YouTube adds a video advert before and after an uploaded clip, offering to split the ad revenue 50-50 with users. It’ll deliver video content and copyright owners from pirated videos.
“It’s not surprising at all,” said Josh Bernoff, a digital media analyst at Forrester Research. “A revenue-less YouTube wasn’t going to last.”
Google CEO Eric Schmidt called YouTube “a wonderful place for people to take copyrighted information, and, with our support, build ad-supported businesses.”
What is more, YouTube makes concessions. In the near future YouTube will be able to offer the same deal as Revver (no more embedded videos).
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Technorati Tags: youtube, split revenue, videos, video clips, viacom, copyrighted content, digital media, streaming video, revver, video on demand, ad
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