This is an example of some brilliant strategy put to work by Google.
Chris Taylor writes about how Google has circumvented (partially for now) the litigation problems of YouTube:
An experimental “brand channel” YouTube launched in mid-October for CBS (Charts) in the hopes that it would become the model for other old media partnerships.
As part of the deal, CBS agreed to offer free video clips for downloading. In return, the media company gets to sniff around YouTube for any content bearing its copyright. CBS can then choose between removing the offending clips or getting a cut of the revenue YouTube generates from any advertising linked to the clip.
The result? By Thanksgiving, CBS had uploaded 300 clips that caught the attention of nearly 30 million pairs of eyeballs. More than 35,000 consumers have subscribed to the free channel. More importantly, the shows that CBS was pushing online suddenly became bigger hits on regular old television too.
This is a great strategy because what it does is that it prevents CBS from launching any legal offensive against Google. And, more importantly, enables Google to earn more revenue.
If other old-media owners such as Sky, NBC, Fox and ABC also launch their own YouTube channels, then Google should be heard having the last laugh.
News courtesy: CNN (link sent in via e-mail)