YouTube, the world’s biggest online-video service (by views), is seeking to acquire streaming rights for its new subscription service YouTube Red. The move, which is reported by the Wall Street Journal, intensifies the Alphabet Inc. unit’s rivalry with Netflix, Amazon Prime and Hulu in the competitive video streaming market. Executives of YouTube have already begun meeting with Hollywood studios and other production companies in recent months to consider pitches and negotiate licenses for new content, according to people familiar with the situation.
Susanne Daniels, the former programming chief of MTV who joined YouTube in the summer, and Kelly Merryman, a former Netflix content executive who joined YouTube in late 2014, are involved in the talks. They report to Robert Kyncl, another Netflix veteran who is now YouTube’s chief business officer.
It isn’t clear what TV series or movies YouTube is pursuing. However, YouTube is eager to secure premium videos to bolster the recently launched a $9.99-a-month subscription service YouTube Red, which offers ad-free videos and streaming music, according to people familiar with the news.
This is not the only way YouTube is planning to raise the amount of RED subscribers; the company is planning to release 10 of its own movies and series featuring YouTuber’s like Felix Kjellberg AKA PewDiePie, these movies will only be available for RED subscribers.
Back on the topic of acquiring streaming rights for new shows and movies, they may be streamed exclusively on YouTube Red, or could be released through traditional channels like movie theaters, cable networks and DVDs alongside the YouTube subscription service. YouTube is still deciding how much content to license, but it is eager to have a robust collection of original programming and licensed programming in 2016 and beyond
Source: Wall Street Journal
