Tuesday, October 31, 2006

Google shares ad wealth with videographers | CNET News.com

Google makes an interesting play in the user gen realm:

Okay... ANOTHER interesting play. But this one won't cost them 1.6 billion.

"Google has begun sharing advertising revenue with the makers of a popular video clip in a groundbreaking deal that could drive up the costs of competing in the fledgling video-sharing sector.

The search company has agreed to turn over most advertising revenue generated by the latest video from Fritz Grobe and Stephen Voltz, creators of 'The Diet Coke & Mentos Experiment,' according to Peter Chane, a senior product manager for Google Video."

2 Comments:

Blogger webba said...

See... I read this as "we got sued, here's some bucks" :)

7:11 PM  
Anonymous Mr Angry said...

I think Revver has the cleverest competing business model I've seen for going up against YouTube. They are deliberately niche because they know they can't compete on numbers. So they target the best quality creators (ZeFrank, the coke & Mentos boys) and work out advertising and republishing deals.

This will work right up to the point Google decides to pay content creators. I think the only reason they haven't up to this point is they have no need to. But if they ever want to crush their competitors (and I mean EVERY SINGLE COMPETITOR) they just have to start paying content creators through GooTube.

Offering creators the biggest audience plus the best chance for making money means nobody else stands a chance.

9:40 PM  

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