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It won't take long for other networks to embrace YouTube. Witness how NBC, a General Electric unit, and CBS jumped on the iTunes bandwagon after Disney-owned ABC paved the way. So don't be surprised to see NBC, Fox and ABC launch their own YouTube channels. (This week British channel Sky, controlled by Rupert Murdoch's British Sky Broadcasting, announced a deal for its own version of YouTube, built with Google technology.)
Google's head of business development Omid Kordestani, speaking at an investor conference in London this week, confirmed that "conversations have been going on with all the key players" on developing and making money out of YouTube. He also hinted that old media partners would get the lion's share of advertising revenues.
YouTube could be a boon for the networks in unforeseen ways, too.
Two years from now, you want to watch a Law & Order, you go to their web site and download it, with ads or without for a small fee. You can see the latest one, or an old one not seen but recommend to you by a friend. (See Netflex's format to see how this works.)
And, the network's role in this is, what exactly?
Nevertheless, the technical structures at youtube will require some upgrade as well as the overall management quality at Google when it comes to dealing with publishers.
He also hinted that old media partners would get the lion's share of advertising revenues.
And why is this exactly? There should be some kind of user-behavior research done: what is more popular? The content taken from media (like tv shows) or user generated content? I would say the second. So why still bow to the media giants? I believe its the lawsuit fear that is making Google behave like this. Hopefully not for very long.
joined:Dec 1, 2003
Media companies may overlook use of copyrighted content on a funky website owned by a couple of young entrepeneaurs but probably won't on a corparate owned website selling advertising. I think google are fully aware of this and went into the purchase expecting to make some settlements. Media companies will of course embrace Youtube and they maybe able to soften any despute's with the offer of free exposure.
Howether if we are talking of media and internet compainies we must not forget AOLWarner. Its difficult to not believe these guys are not just waiting to make their play.
what is more popular? The content taken from media (like tv shows) or user generated content? I would say the second.
I don't think so. How many shaky videos "filmed" with a mobile phone and virtually zero content can people endure? Not many. The novelty factor quickly wears off, and once this has happened people will be looking for quality content. They will only get this from current TV or movie production companies, because it still takes talent, time, and resources to get quality stuff done. And this does not come for free. - And that's why you still find so many copyright protected clips on YouTube (with high view counts, BTW). GooTube know that if they cut back on the violating content, they will loose the majority of their users.
Hence, I see the classical production companies still in the drivers seat for this. They may have to adopt to the new distribution methods, but they will keep on producing the content.