Google's YouTube Set to Invest in Vevo Music Video Site - Peter Kafka - Media - AllThingsD: " . . . it makes the most sense for YouTube and the labels to work together. The labels would like to see more money than they currently get from YouTube, but it would be hard for them to walk away from the revenue they’re already getting.
And while YouTube has worked hard to attract more “professional” content on the site — which is why it has been writing advances to video makers to create “channels” on the site — the labels’ videos remain enormously popular with its young audience.
Meanwhile, both the distribution and the investment will be crucial for Vevo, which operates a very thin-margin business.
Under both the old deal and the new one the company is set to strike, Vevo hands over about a third of its revenue to YouTube, and more than 50 percent of its revenue to the labels, which doesn’t leave it much in the way of an operating budget. Last year, Vevo CEO Rio Caraeff said his company was doing more than $150 million a year."
more news below
Follow @expriorg
No comments:
Post a Comment