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Tuesday, January 30, 2007

YouTube Revenue Model Examined


Pete Blackshaw has some intriguing comments on YouTube's new revenue-sharing model. He has a very good point, but I think the direction is largely inevitable given the money involved. Traffic here does appear to equal content.
" ... YouTube this weekend announced it would eventually move to a revenue sharing model with content creators...not unlike Revver, which splits ad-revenue 50/50 with consumers who post video. This is a big deal, and could have massive implications on the creation and consumption of consumer-generated media (CGM). Up until now, YouTube has anchored its model more to "attention gratification" than financial compensation, which to many sounds like a raw deal against a backdrop of YouTube selling to Google for $1.5 billion. .... "

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