With a large threat of copyright lawsuits hanging (in fact, media companies have started suing YouTube-like companies for publishing copyrighted content), Google is trying its best to enter into deals with media companies to broadcast video-clips legally on its newly acquired YouTube.
According to The Financial Times, Google is offering groups upfront payments for the right to use film and TV clips, music and other work on the site. It is talking to groups like CBS, NBC, News Corp and Time Warner.
YouTube already has a deal with Warner Music to allow YouTube broadcast some content in exchange of share in ad revs.
When Google took over YouTube, it vowed to come hard on copyright. The reason probably YouTube escaped for so long is because it didn’t have enough money in its kitty and hawks like Universal were just watching it keenly waiting for something big to happen. It happened, the cash-rich Google bought it, and that is what changes the game now.
How much more Google is going to spend in the way of payouts and ad rev share is a matter of great interest to me. I am sure it will substantially add to the $1.6 billion it spent on acquiring YouTube.
News: BBCNews.com
