Ahh, YouTube has pulled the ol’ drug dealer scam on television networks — get ‘em hooked and then jack up the price.
Apparently the golden age of “sweetheart deals” is over for some of YouTube’s biggest content partnerships as the video site will no longer allow its “prestige” content providers, i.e. television and film networks to keep their enormous shares of revenue. After January 14th, the majors will be playing at the same level as the minors. Originally, YouTube lured in the major studios by offering them 70% of the monies earned — but it has now dropped that takeaway to its standard 55%.
Essentially, Warner Bros. will be earning the same for its digital content as you or I would … if either of us made content that hit Warner Bros.-style numbers that is. And likely, the studios will have to play along as online content becomes more prevalent in the media game. Of course, the film studios were being groomed by YouTube, and now that they depend on YouTube’s sweet access to the digital landscape, they are in danger of being turned out, ho-style.
Yeah, Warner Bros., you look like a real pretty lady up in YouTube’s stable … give it a couple years though and you’ll be just another worn-out trick. YouTube keeps its pimp-hand strong.