Friday, June 19, 2009

Google Goes TV Friendly


The kind of business model the players have been following is that they weave their online business strategy around the non-online business. E.g. Viacom and BBC have introduced separate online business segment altogether. However, the content to be provided comes only from their TV segment. The popularity of the show is monetized through the online portal and advertising. However, Internet giant Google plans to swim against the tide. YouTube is moving past laptops, desktops and mobile screens and plans to develop professionally produced content for the TV viewers to watch. It has already released the beta version of
YouTube for Television and will use the Net to deliver video content to Internet-connected devices — Nintendo’s Wii and Sony’s PS3 are the only ones so far in the beta. YouTube has also developed advertising schemes for networks and studios to sell their advertisements on the branded YouTube channel. It could imply some major deals if these channels find their way to the TV screen.
To beat the professionally produced content YouTube can cash on its library of music videos by delivering it in a high quality video and audio format. Like a regular broadcast TV, YouTube can form stations playing the most popular music videos which users can watch like a TV station. YouTube currently has deals with MGM, CBS Home Video, Sony Pictures Television and a host of independent content producers. If they could start moving some of this content to the TV through the YouTube for Television service, it would be an amazing start. It would also be a big step in giving Hulu a run for its money in terms
of advertising.

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