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Youtube Rival in the Works


Youtube, like the search market dominated by its owner, is the main player in online video, but it may not be for much longer.

Yahoo has signaled strongly it intends to do become a major competitor to Youtube, and is already attempting to poach major Youtube content generators away to existing services. Yahoo last year failed to buy France’s Daily Motion site for $300 million, which could have been quite a bargain if they got it.

Yahoo’s strategy is to offer users more money for the content they generate, which makes perfect sense since without them the service hasn’t many viewers.

Yahoo is said to be offering potential video makers better share of revenue and guaranteed revenues on ads shown, and will offer advertising on other Yahoo’s pages to video makers. But they had better be quick – rivals including Youtube are moving into music only versions soon, as Spotify already has, which could prove to be huge especially to mobile users. These would presumably use short audio ads and allow personal play lists.

It turns out Yahoo may intend to do this – the Wall Street Journal this month reports that Yahoo has further linked up with Vevo, the worlds leading premium music video platform which is a joint venture of Universal Music Group and Sony Music Entertainment. These will show via Yahoo Screen, its existing video service. Yahoo already uses these on another service, Yahoo Music, its music video site.

With 12.6 billion video views on Youtube in January, do you think Yahoo can build a genuine market rival to Youtube?

If you need any help with increasing your advertising return, then please get in contact with us here at Network Intellect.

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