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Has YouTube found a savior from Viacom?

Lionsgate and YouTube in ad deal. Suitable bailout for YouTube/Viacom problems?

Technology trends and news by Josh Chandler
July 16, 2008 | last edited July 17, 2008 | Comments
Short URL: http://vator.tv/n/307

 SFGate picked up a story about how Lionsgate is to become the third major content provider to do a rev share deal with Youtube. This deal will allow YouTube to keep Lionsgate content on the network legally while gaining new content from the company which in turn will bring in more users. This move comes as YouTube continues its battle against Viacom in the $1 billion lawsuit, which Google will likely lose!

Viacom is even checking Google staff computers for illegal uploads to the site. (Ooh smart move there Viacom. Nice and close to home.)

YouTube has similar deals in place with CBS, announced back in 2006  and BBC in early 2007. However it seems that YouTube still hasn't struck the right deals to help monetize the site. With the amount of uniques being served up each and every day I can't believe 1) Every company has agreed to deals with YouTube and 2) That these deals aren't rev share.

Although we look at the point that if YouTube was to do too many deals with rev share then they would find it harder themselves to break even each year. The one positive that should be drawn from these deals is that Viacom may actually take notice that other companies are willing to place their content onto the YouTube Network for no fee and don't claim that YouTube is a "hot bed of activity for copyright."

Viacom needs to lose the ego and come and join the YouTube party, create innovation for content and create a more positive deal with YouTube.

I just really believe there are so many chances for user-generated content to really drive forward new experiences for audience and if Viacom or other media companies invest in web only shows that take off, they have created viral gold for their brand!

Of course we know Google will be able to foot the bill for the lawsuit should they lose, but this will still tarnish YouTube's reputation so badly and the damages will be far worse for Google as YouTube begins to lose its user base it worked so hard to get.


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