The latest news about YouTube is that it is negotiating with major Hollywood studios to show movies on rental basis.
The idea is not new, Apple’s iTunes already does and sells movies online but if YouTube started showing rental movies online it would be the first time YouTube will end up charging its users for anything. 😐
I was reading in an article YouTube can get almost a $100 Billion in revenues if it provided statistical details to its high end corporate users. Often many plans have been talked about on ‘How to monetize YouTube?’
But for a website which is famous for showing clips, advertisements and movie previews and trailers the natural step forward would be to show films online.
How does Google plan to do it.
- YouTube its said and already in talks with Lions Gate, Sony and even Warner Bros.
- Plans are afoot to show movies with a charge of $3.00 which for the US market is perfect.
- It will directly start to compete with other film content websites like Netflix and Amazon VOD