The Google / YouTube Come-On

Recently in BusinessWeek they uncovered the fact that Google and YouTube are dangling nine-figure sums in front of major programming and network players—that is, the Time Warners, News Corps, and NBCs of the world.

Google calls these monies licensing fees, according to executives who’ve been involved in the discussions. But some of them characterize the subtext like this: Don’t sue us over copyrights. Take this (substantial) payment, and trust us to figure out how we’ll all make serious money once we get advertising and revenue sharing worked out.

To complicate matters, no publicly traded media company today is in a position simply to dismiss, say, $100 million. Such a sum far exceeds what any single broadcast network can extract from the online world–and drops straight to the bottom line.

Where is the Buzz? It is interesting that no programming giant has sued YouTube yet or maybe they know they can’t sue their way out of this.

For more on this topic check out BusinessWeek

2 comments to The Google / YouTube Come-On

  • Tanya

    “Where is the Buzz? It is interesting that no programming giant has sued YouTube yet or maybe they know they can’t sue their way out of this.”

    What a prediction! Any thoughts on how the Viacom/YouTube suit (http://www.msnbc.msn.com/id/17593962/) will turn out?

  • Paul Dunay

    Excellent question Tanya – who doesnt love a slug fest like this one

    ok here is my 02c prediction

    We know (readers of my blog) that Google plans to skin YouTube with advertising that will be “Click to Play” – so folks like myself could by that and post brand messaging on that medium (ex HP posted their brand message in the Charlie Rose show)

    see permalink http://buzzmarketingfortech.blogspot.com/2006/11/check-out-cost-per-play-video.html

    Since Google is apparently making YouTube into another channel for them to push contextually relevant ads – why not cut Viacom in and give them a Revenue Share of the ad dollars?

    best
    pd

Leave a Reply

You can use these HTML tags

<a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <s> <strike> <strong>