YouTube has just signed a deal with MGM Studios that would make the appearance of various full-length MGM TV shows and films on YouTube’s content network. Although we’ve managed to see some of MGM films and TV shows on YouTube before, these were not however legitimate clips and were uploaded by viewers and users “illegally”.
But for now, YouTube maybe starting to reorganize its structure and business models and this deal with MGM could paved the way for other major studios to follow. This explains the reason why YouTube has been cleaning up its act and introducing various new features in preparation for the tie-up with major studios. NYT is reporting that initial talks have already begun with Lionsgate and CBS.
Among these new features include the theater view button which allows users to expand their viewing screen while darkening the rest of the current web page. This feature is similar to Hulu’s. And another new feature is the VideoID which lets media companies to detect unauthorized uploading of their copyrighted video content to YouTube.
To kick off their partnership, MGM and YouTube will be featuring episodes of American Gladiators, full-length clipos of Bulletproof Monk and the Magnificent Seven. These video clips and others that would soon follow will be free to watch on YouTube’s site. But they will be served with videos ads coming from Google’s advertising inventory of course.
This deal might spell the future of YouTube, especially its quest to fully monetize the huge traffic that its site is generating every month from various contents which are uploaded by members. Unfortunately, most of those user-uploaded contents are not ad-worthy from the advertisers point of view. Hence, YouTube has not been successful in earning from its content. With full-length movies and TV programs, YouTube might be able to succeed this time.
And ultimately, catch up with Hulu.
