YouTube Google is making an investment in entertainment by working with YouTube in an effort to become their own television network of sorts. With a considerable cash investment, the search and media giant will begin producing original content in an effort to broadcast custom creations much the same way traditional television networks do.

This move is yet another move in the trend we are seeing toward the next generation of content delivery.

Coming in at a cost of over $100 million in up-front advances, this is no small undertaking but I think we can all agree that generally YouTube seems to know what they are doing. Having evolved into a household name, everybody knows to check YouTube for viral Internet content and video clips. And it’s not just funny videos of people and their cats (though who doesn’t enjoy a funny cat video?), celebrities like Ellen Degeneres are finding marketable talent on the site and even signing several to her own music label.

In the end, you can assume that this venture is looking to make money, and if they are successful YouTube should be able to command higher rates for their ads.

Beginning by signing agreements with personalities like skateboarding superstar Tony Hawk and creating agreements with other major media providers Warner Bros. and News Corp., this venture will have to prove it has legs among a growing list of competitors. In a genre once dominated by Netflix, other options like Hulu and Vudu are emerging and seeing success, not to mention the recent news that Amazon has a few things up their sleeve in this area as well.

The good news is, this is the time to get on board. Consumers are really starting to embrace the idea of digital content delivery and are getting used to tuning in with their Internet-ready devices (whether it is a traditional desktop computer, laptop, tablet or smartphone).

The good news for iOS users is that the native YouTube app works flawlessly with AirPlay!

[via Wall Street Journal Online]

Source http://feedproxy.google.com/~r/padgadget/~3/5Sp4lkePJ2M/



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