Online Cash Machines

Wednesday, April 1, 2009

Disney reaches deal with YouTube

YouTube continues to improve its credibility with national broadcasters. The company said that it signed an agreement with Disney/ABC and ESPN, which will open their own channels on the video community site – and control their own ad inventory.

Slowly but surely, YouTube is moving from a site that is viewed as a location that hosts quite a bit of illegally recorded video content to a destination that is explored by broadcasters as an additional revenue source.  YouTube said that Disney Media Networks will launch multiple ad-supported channels on the site, including short-form content from ESPN and the Disney/ABC Television Group.
Channel roll out is scheduled to begin in mid-April for ESPN and early May for the Disney/ABC Television Group channels which will include ABC Entertainment, ABC News, ABC Family and SOAPnet.
In an apparent move to avoid a legal proceeding, YouTube agreed to integrate the ESPN Video Player in the ESPN channel, but said that there will be “additional short-form content available” through YouTube’s player. ESPN will not offer long-form content on YouTube.
According to the agreement, Disney/ABC and ESPN will control their ad inventory and test alternative ad models, such as pre-roll advertising. Initially, the channels will show YouTube’s InVideo overlays as well as traditional display ads.

No comments: