YouTube Planning To Charge For Original Content, Select Channels: Report

By Shailesh Shrivastava email: s.shrivastava@mobilenapps.com | Jan 30, 2013 02:35 AM EST

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Your favorite video Web site, YouTube, is reportedly planning to start a subscription plan to target some cable operators and video producers.

According to new reports, YouTube is already in talks with a group of some channel producers to chalk out the revenue-generating strategy.

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An Adage report states that YouTube may charge somewhere from $1 to $5 per month for some channels.

"It's not clear which channels will be part of the first paid-subscription rollout, but it is believed that YouTube will lean on the media companies that have already shown the ability to develop large followings on the video platform, including networks like Machinima, Maker Studios and Fullscreen. YouTube is also looking outside its current roster of partners for candidates," the report said.

According to the plan, as it looks like for now, the subscription will be there only for original content. Some channels producing original content will charge user for accessing their content. YouTube might also put another payment plan - Pay-per-use or pay-per-view. The second option will mostly work in case of serials or episode-vise content.

Viral videos or funny content will surely be out of the paid subscription, and people who open YouTube for humor relief will not have to spend some bucks for the video Web site.

However, so far no official confirmation from YouTube has been received regarding this issue.

"We have long maintained that different content requires different types of payment models. The important thing is that, regardless of the model, our creators succeed on the platform. There are a lot of our content creators that think they would benefit from subscriptions, so we're looking at that," The Verge quoted a YouTube spokesperson as saying.

The Google-owned company has already been renting out videos since 2010.

According to Adage, if YouTube goes into the subscription mode, it will be around 45-55 split of the revenue.

"The initial group of channels will be small, likely about 25 at the outset. The revenue split from subscriptions is expected to be similar to the 45-55 split that is common for ads on YouTube. Partners will also have the option to include ads in their pay channels, but its unclear what form those will take," the Adage report stated.

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